Oil and natural gas: Oil retreated to the $83.00 level
- The price of oil jumped to $84.85 yesterday.
- The price of natural gas was retreating from the $3.00 level yesterday.
Oil chart analysis
The price of oil jumped to $84.85 yesterday. This is where we encounter resistance and see that the price starts to pull back, looking for new support. During the Asian trading session, the price hovered around the $82.70 level. At the beginning of the EU session, the price tests the $82.40 level and manages to get its support, which leads to a recovery to the $83.00 level.
Now, we need a break above to trigger a new bullish option. Potential higher targets are $84.00 and $85.00 levels. We need a negative consolidation and price pullback to the $82.00 support level for a bearish option. Additional price support is the EMA50 moving average. And if a break above occurs, the price could easily slide even lower. Potential lower targets are $81.00 and $80.00 levels.
Natural gas chart analysis
The price of natural gas was retreating from the $3.00 level yesterday. We did not withstand the pressure at that level, and a drop to the $2.75 level followed. During the Asian trading session, natural gas managed to consolidate and move up to the $2.80 level. Now, we need a break above it to trigger a new bullish option. Potential higher targets are $2.90 and $3.00 levels.
We need a negative consolidation and a drop below the $2.75 support level for a bearish option. Additional price support in that zone is the EMA50 moving average. The inability to stay above it will lead to a further fall and a visit to lower levels. Potential lower targets are $2.70 and $2.60 levels.
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