Oil and Natural Gas: The price of oil falls below $83.00

Oil chart analysis

This week, the oil price was retreating from $85.00 to $80.19. Yesterday, a low was formed at that level, acena managed to find support there and initiate a bullish consolidation. During the previous Asian trading session, oil rose to $83.00.

We currently have resistance at that level and see a pullback to the $82.50 support level. Now, we need to manage to stay above that level in order to start a bullish continuation.

Potential higher targets are $83.50 and $84.00 levels. We will have additional resistance in the zone around $83.50 in the EMA50 moving average, and we need a break above to continue the growth. For a bearish option, we need a negative consolidation and a drop below the $82.00 level.

This would give us the opportunity to form a new low, which would confirm the increased bearish pressure. Potential lower targets are $81.00 and $80.00 levels.

Natural gas chart analysis

During the previous Asian trading session, the price of natural gas was successfully maintained above the $3.50 level. In the EU session, we see a bullish continuation with the formation of a daily high at the $3.57 level.

We expect a continuation of growth and a visit to the previous high at the $3.64 level. A retest of that level could produce a breakout above and the formation of a new high. Potential higher targets are $3.70 and $3.75 levels.

For a bearish option, we need a negative consolidation and a drop below the 3.50 support level. After that, we would test the $3.47 level from the market opening last night.

A break below would form a new daily low and signal a continuation of the bearish side. Potential lower targets are the $3.45 and $3.40 levels. Additional support in the zone around $3.40 was provided by the EMA50 moving average.

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