Oil and natural gas: The price of oil falls below $78.00
- Oil prices continue to retreat and drop below the $80.00 level.
- The price of natural gas retreated yesterday from the $2.35 level.
Oil chart analysis
Yesterday, oil fell to the $78.50 level and formed the first low, after which it tried to recover to the $79.50 level. The bearish pressure was still very strong, and the oil price started a new pullback. During the Asian trading session, the price continues to fall, and today’s low is $77.60. Potential lower targets are the $77.00 and $76.50 levels. We need a positive consolidation and a return above the $78.50 level for a bullish option. Then we need to hold above that level to consolidate before the next bullish impulse. Potential higher targets are the $79.50 and $80.00 levels.
Natural gas chart analysis
The price of natural gas retreated yesterday from the $2.35 level. We find support at the $2.15 level on the EMA50 4h moving average. During the Asian session, the price recovered and climbed to the $2.21 level. If the current consolidation continues, we could see a continuation of the recovery and a possible retest of yesterday’s high. We need a negative consolidation and a new test of this morning’s support at the $2.15 level for a bearish option. A break below would add uncertainty to the price recovery, leading to a further pullback. Potential lower targets are the $2.10 and $2.00 levels. The last time we were at the $2.00 level was last Friday.
