Natural Gas and Oil Forecast: Hurricane Milton Pushes Prices Higher as Geopolitical Risks Mount

Market Overview

Oil prices rose on Thursday due to increased fuel demand in Florida following Hurricane Milton’s landfall, which led to a spike in gasoline demand as around 25% of fuel stations reported supply shortages.

Additionally, geopolitical tensions in the Middle East have fueled concerns about potential supply disruptions, supporting crude prices further.

The U.S. Energy Information Administration (EIA) reported a rise in crude inventories by 5.8 million barrels, while also lowering its 2025 demand forecast.

These developments could also impact Natural Gas prices, given the rising energy demand and supply uncertainty in the region.

Natural Gas Price Forecast

Natural Gas (NG) is trading at $2.87, up 0.28%, showing a mild bullish movement. The current price is slightly above the key pivot point at $2.67, suggesting a potential breakout.

Immediate resistance is at $2.73, followed by $2.77 and $2.82. A decisive break above $2.73 could signal further upside momentum.

On the downside, immediate support lies at $2.61, with additional levels at $2.58 and $2.54 providing a cushion. The 50-day EMA, currently at $2.75, aligns with immediate resistance, indicating a key decision point.

If prices dip below $2.67, bearish sentiment may prevail, potentially pushing NG lower. Traders should watch for a close above $2.73 to confirm bullish momentum.

WTI Oil Price Forecast

USOIL (WTI) is trading at $73.79, up 0.64%, showing a mild recovery after recent declines. The price is hovering near its 50-day Exponential Moving Average (EMA) at $73.78, which now acts as an immediate support level.

A break above the key pivot point at $74.38 could signal further gains, with immediate resistance at $75.84, followed by $77.40 and $78.44. On the downside, strong support lies at $72.65, with additional protection at $71.58 and $70.53.

The previously breached trendline around $74.38 is likely to act as resistance. If prices fail to break above $74.38, the bearish momentum could resume, pushing oil lower in the short term.

Brent Oil Price Forecast

UKOIL (Brent Crude) is trading at $77.10, up 0.47%, showing a slight upward move but still below the key pivot point at $77.13. The price action suggests cautious sentiment, as UKOIL remains below its 50-day Exponential Moving Average (EMA) at $77.34, indicating potential bearish pressure.

Immediate resistance is seen at $78.18, followed by $79.19 and $80.25. On the downside, key support is at $76.33, with additional levels at $75.25 and $74.34.

If UKOIL breaks above the $77.13 pivot and clears the 50-day EMA, a bullish reversal could take shape. However, failing to do so could lead to further declines.