Oil and natural gas: Oil slips below the $77.00 level

• The oil price was retreating during the Asian trading session from $77,30 to $76.30.
• Last week’s low price of natural gas was at the $2.95 level.

Oil chart analysis

The oil price was retreating during the Asian trading session from $77,30 to $76.30. We are stopping at that level right now in the hope that we will be able to get support and start a recovery. The oil price recovered slightly to the $76.50 level, and we need a stronger bullish impulse to move above the $77.00 level. Then, we would approach the price from the market opening at the $77.31 level.

A break above would erase this morning’s price losses, and we would move to the positive side. Potential higher targets are $78.00 and $78.50 levels. Additional resistance in the zone of $78.50 lies in the EMA50 moving average. We need a negative consolidation and a drop below the $76.00 level for a bearish option.

After that, we would see the continuation of the fall and the formation of this week’s new low price of oil. Potential lower targets are $75.50 and $75.00 levels.

Natural gas chart analysis

Last week’s low price of natural gas was at the $2.95 level. The previous low was formed on Friday, and the price managed to stop there, and at the close of the market, it returned to the $3.00 level. At the market opening this morning, we saw a bullish gap that triggered a bullish consolidation and pushed the price above the $3.15 level. We are now very close to the $3.20 level and encounter potential resistance in the EMA50 moving average.

We need a break above the EMA50 and the $3.20 level in order to capture new momentum and start a further recovery. Potential higher targets are $3.25 and $3.30 levels.

We need a negative consolidation and a price pullback below the $3.10 level for a bearish option. After that, we would again be turned towards support at the $3.00 level. The breakout of the ispof leads to the formation of a new low price and thus confirms the bearish pressure. Potential lower targets are $2.95 and $2.90 levels.