Oil and natural gas: Oil slips below the $71.00 level
- During the Asian trading session, the oil price retreated to support the $70.70 level.
- The gas price on Friday formed a new two-month high at the $2.62 level.
Oil chart analysis
During the Asian trading session, the oil price retreated to support the $70.70 level. At the beginning of the EU session, oil receives support at that level and returns above the $71.00 level. We are currently at the $71.70 level and are testing resistance at the EMA50 moving average.
The price could be found again at the $72.00 level. If we stay above that level, then we can expect to see a further recovery in the price of oil. Potential higher targets are the $73.00 and $74.00 levels. We need a negative consolidation and a new price pullback below the $71.00 level for the bearish side. After that, we would probably test the $70.00 support level once more.
Natural gas chart analysis
The gas price on Friday formed a new two-month high at the $2.62 level. There was a saturation of buyers, and the price started a pullback. During the Asian trading session, the price retreated to the $2.47 level. We are getting that support and seeing a recovery to the $2.50 level.
We have a new resistance at that level, and now the price is making another pullback that could break through the previous low. Potential lower targets are the $2.40 and $2.35 levels. Additional support for natural gas prices at $2.35 is the EMA50 moving average.
