Oil and Natural Gas: The Price of Oil Failed To Reach $99.00
- During the Asian trading session, the oil price again tried to reach the $90.00 level but was unsuccessful.
- The price of natural gas continues its bullish consolidation that began on October 24.
Oil chart analysis
During the Asian trading session, the oil price again tried to reach the $90.00 level but was unsuccessful. The price stopped at the $89.80 level and is making a turn toward the $88.00 level. We need a continuation of this negative consolidation and a drop below the $88.00 level for a bearish option.
We would then likely see a further price decline to support at the $87.00 level. And if we don’t manage to hold on there either, the target is the previous low at the $86.00 level. We have a big support zone around the $85.00 level. We need a positive consolidation and a new return to the $90.00 resistance zone for a bullish option. Then we need first to hold on there and try to break above. Potential higher targets are the $91.00 and $92.00 levels.
Natural gas chart analysis
The price of natural gas continues its bullish consolidation that began on October 24. Yesterday, the price dropped to the $5.20 level and thus found support on the lower line of the growing channel. During the Asian trading session, the price manages to climb above the $5.40 level and continue toward the $5.60 level. For a bullish option, we need a continuation of this positive consolidation and price growth to the $5.80 resistance level.
In the previous attempt, we failed to move above. If we succeed now, the price could rise to $6.00 and thus form a new 15-day higher high. Potential higher targets are the $6.20 and $6.40 levels. We need a new negative consolidation on the descent to this morning’s support at the $5.40 level for the bearish option. After that, the gas price could test the previous low at the $5.20 level. A break below would only strengthen the bearish option. Potential lower targets are the $5.00 and $4.80 levels.
