Oil and natural gas: the price of oil remains below $77.00
- Oil prices were bullish as we moved back above the $76.00 level on Friday.
- During the Asian trading session, the price of natural gas continued to retreat below the $3.00 level.
Oil chart analysis
Oil prices were bullish as we moved back above the $76.00 level on Friday. During the Asian trading session, the price continued to grow to $76.80. We encounter resistance in that zone and in the EMA50 moving average, and the price has pulled back to the $76.40 level. Failure to break above could lead to a deeper pullback below the $76.00 level.
Potential lower targets are $75.50 and $75.00 levels. We need a new positive consolidation and a jump above the $77.00 level for a bullish option. With such a move, we would get support in the EMA50 moving average, which should have a positive impact on the future movement of oil prices. Potential higher targets are $77.50 and $78.00 levels.
Natural gas chart analysis
During the Asian trading session, the price of natural gas continued to retreat below the $3.00 level. On Friday, before the end of the US session, the price of natural gas tried to reach the $3.00 level, but that recovery was stopped at the $2.96 level. This morning, we see the continuation of the bearish side and the formation of a new low price at the $2.86 level. We are currently managing to stay above that level, but we are still rising under bearish pressure.
A break below leads to the formation of a new low, and the potential lower targets are the $2.80 and $2.75 levels. We need a positive consolidation and a return above the $3.00 level for a bullish option. Then, we need to hold on there and form a new bottom from which we would start further recovery. Potential higher targets are $3.05 and $3.10 levels.
