Oil and natural gas: Oil yesterday at the 77.30 level
- The oil price continued to rise this week, forming a new high at the $77.30 level.
- The price of natural gas is in a slightly bearish trend after forming a high at the $2.81 level at the end of June.
Oil chart analysis
The oil price continued to rise this week, forming a new high at the $77.30 level. During the Asian trading session, we saw a bearish consolidation to the $76.50 support level. The price manages to stop the decline at that level and recovers slightly to the $76.95 level. The weak dollar influenced the price of oil to jump to current levels.
We need a positive consolidation and a price jump to the $77.50 level for a bullish option. Thus we would form a new higher high, which means a further continuation to the bullish side. Potential higher targets are the $78.00 and $78.50 levels.
We need a negative consolidation and pullback to the $76.00 level for a bearish option. A drop below this level would mean a potential continuation of the oil price retreat. Potential lower targets are the $75.00 and $74.00 levels. Additional support at the $74.00 level is the EMA50 moving average.
Natural gas chart analysis
The price of natural gas is in a slightly bearish trend after forming a high at the $2.81 level at the end of June. This week we saw a recovery to $2.68, after which the price made a new pullback and descended to the $2.50 level. During the Asian trading session, the gas price manages to consolidate at that level and move up to the $2.51 level.
We need a positive consolidation and price movement towards the $2.54 level for a bullish option. A price break above could push the continuation of the recovery, and the potential higher targets are the $2.56 and $2.58 levels. We need a negative consolidation and a drop below the $2.50 support level for a bearish option. This would mean that we will see the formation of a new low, and the potential lower targets are $2.48 and $2.46 levels.
