On Tuesday, the oil price dropped to a new July low of $74.59. 
During this morning’s Asian trading session, the price of natural gas climbed to a new weekly high at the $2.16 level.

Oil chart analysis

On Tuesday, the oil price dropped to a new July low of $74.59. Shortly after stabilizing at that level, a bullish consolidation was initiated. During this morning’s Asian trading session, the oil price started a strong bullish consolidation. It quickly bounced back above $76.00, finding support at the EMA 50 moving average. After that, the growth continued to $77.50 and the EMA 200 moving average.

In this zone, we can expect some resistance to continue on the bullish side. Potential higher targets are the $78.00 and $78.50 levels. For a bearish option, we need a negative consolidation and pullback below the $77.00 level. This brings us back to the negative side below the weekly open price. After that, we expect to see a further pullback and a search for new support. Potential lower targets are the $76.50 and $76.00 levels.

Natural gas chart analysis

During this morning’s Asian trading session, the price of natural gas climbed to a new weekly high at the $2.16 level. The inability of the price to stabilize and continue on the bullish side led to the initiation of bearish consolidation and the EU session back to the $2.08 level. We are back below the EMA 200 moving average again, which added to the bearish momentum.

Potential lower targets are the $2.06 and $2.04 levels. By returning to these levels, we would be forced to test the weekly open price. For a bullish option, we need to stop this bearish impulse and stabilize the price at the $2.10 level. If we succeed in this, we can hope to initiate a bullish consolidation and recovery. Potential higher targets are the $2.12 and $2.14 levels.