Natural Gas and Oil Forecast: Crude Inventories Drop, Brent Faces Key $82 Resistance

Market Overview

Oil prices rose on Wednesday, reversing earlier losses, as geopolitical tensions and U.S. sanctions on Russian tankers fueled supply concerns. Market participants remain cautious, assessing the potential impact of disrupted Russian exports and alternative supply measures. A sharper-than-expected drop in U.S. crude stockpiles, reported by the American Petroleum Institute, lent additional support.

Inventories fell by 2.6 million barrels last week, highlighting historically low levels at the Cushing storage hub. However, gains were capped as the Energy Information Administration (EIA) forecasted a supply surplus through 2025, projecting Brent prices to average $74 per barrel.

The mixed signals leave traders navigating a complex landscape of near-term volatility and long-term bearish pressures.

Natural Gas Price Forecast

Natural Gas (NG) is trading at $3.56, down 1.74% in the last session, showing signs of pressure as it approaches a key support zone. The pivot point at $3.74 serves as a critical threshold—remaining below it may invite further selling momentum, with immediate support seen at $3.51 and deeper support at $3.33.

However, an upward trendline from recent lows has been reinforcing bullish sentiment, suggesting buyers are defending key levels.

Technical indicators highlight mixed signals. The 50 EMA at $3.77 is acting as resistance, while the 200 EMA at $3.34 remains supportive, keeping the long-term trend intact. A push above $3.74 could target resistance at $4.05 and $4.35. Bulls are eyeing this pivot for potential recovery.

WTI Oil Price Forecast

USOIL prices are trading at $77.75, down 0.38% on the day, as the market navigates near a critical pivot point at $77.33. This level serves as a key threshold for short-term market direction. A break above $77.33 reinforces bullish momentum, targeting immediate resistance at $79.09, with the next hurdle at $80.53.

On the downside, immediate support is seen at $75.62, with further declines potentially testing $73.96.

Brent Oil Price Forecast

UKOIL prices are trading at $80.06, down 0.36% for the day, with the market hovering near the pivot point at $79.96. This level acts as a critical dividing line between bullish and bearish momentum. If prices stay above $79.96, a bullish continuation could target resistance levels at $81.65 and $82.48.

On the downside, immediate support is seen at $78.65, with deeper levels at $77.96 providing additional safety nets.

The 50-day EMA at $78.21 offers near-term support, while the 200-day EMA at $75.30 underscores long-term strength. Traders should closely monitor price action around $79.96, as a break below this pivot could signal sharper declines and intensify selling pressure.