Oil and natural gas: The oil falls below $80.00 again
- The oil price growth was stopped on Friday at the $80.00 level.
- During the Asian trading session, the gas price was maintained above the $2.50 level.
Oil chart analysis
The oil price growth was stopped on Friday at the $80.00 level. Since then, the price has been pulling back below $79.00. During the Asian trading session, oil prices broke below the $79.00 level and fell to the $78.50 support level. For a bearish option, we need a negative consolidation and a break below for further continuation.
Potential lower targets are the $78.00 and $77.00 levels. We need positive consolidation and a return to the zone around the $80.00 level for a bullish option. Then we need to climb above and try to stay up there. Potential higher targets are the $81.00 and $82.00 levels.
Natural gas chart analysis
During the Asian trading session, the gas price was maintained above the $2.50 level. We are still in the consolidation zone since the beginning of February. We need a positive consolidation and price breakout above the $2.70 level for a bullish option. After that, we could expect to see a move up to the $2.80 level, and thus we would form a new higher high. Potential higher targets are the $2.90 and $3.00 levels.
We need a negative consolidation and pullback below the $2.50 level for a bearish option. This would bring us back to the support zone, which could result in a breakout below and the formation of a new lower low. Potential lower targets are the $2.40 and $2.30 levels.
