Natural Gas and Oil Forecast: OPEC+ Cuts Bolster Prices, NG Up Nearly 5% to $2.70

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Updated: Jun 3, 2024, 10:23 GMT+00:00

Key Points:

Oil prices rise as OPEC+ extends production cuts into 2025, supporting market prices.
Natural gas and oil forecasts influenced by OPEC+ decisions and geopolitical developments.
Extended production cuts bolster oil prices, while Gaza ceasefire may reduce crude volatility.

Natural Gas and Oil Forecast: OPEC+ Cuts Bolster Prices, NG Up Nearly 5% to $2.70

Market Overview

Oil prices rose in Asian trade on Monday as OPEC+ extended production cuts into 2025. The decision by OPEC+, led by Saudi Arabia and Russia, to maintain 5.8 million barrels per day of production cuts was expected, aiming to support prices through tighter markets.

Natural gas and oil forecasts are influenced by these developments. The extended production cuts bolster oil prices, while potential geopolitical stability from a proposed Gaza ceasefire may reduce crude price volatility, easing pressure on natural gas and oil markets.

Natural Gas Price Forecast

Natural Gas (NG) Price Chart

Natural Gas (NG) is currently priced at $2.71, up 4.79% in the 4-hour timeframe. The key pivot point is at $2.68. Immediate resistance levels are at $2.79, $2.85, and $2.92.

On the support side, immediate support is at $2.62, with further support at $2.54 and $2.48. The 50-day Exponential Moving Average (EMA) is at $2.61, while the 200-day EMA is at $2.33.

The outlook is bullish above $2.68, but a break below this level could trigger a sharp selling trend.

WTI Oil Price Forecast

WTI Price Chart

USOIL is currently priced at $77.12, reflecting a decline of 0.89%. The chart timeframe is 4-hour, with key price levels indicating a pivot point at $77.49. Immediate resistance levels are at $78.58, followed by $79.36 and $80.53. On the support side, the immediate level is $76.16, with further support at $75.11 and $74.31.

Technical indicators show the 50-day Exponential Moving Average (EMA) at $78.43 and the 200-day EMA at $79.58. USOIL maintains a bearish outlook below the pivot point of $77.49. A break above this level could signal a bullish trend, while a continued decline would reinforce the bearish sentiment.

Brent Oil Price Forecast

Brent Price Chart

UKOIL is trading at $80.99, up 0.34% in the 4-hour timeframe. Key price levels include a pivot point at $82.17. Immediate resistance is at $83.48, followed by $84.47 and $85.55.

On the support side, immediate support is at $80.65, with further levels at $79.76 and $78.63. The 50-day Exponential Moving Average (EMA) is at $82.53, and the 200-day EMA is at $83.93.

The outlook is bearish below $82.17. A break above this pivot point could signal a bullish trend, while remaining below reinforces bearish sentiment.

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About the Author

Arslan Aliauthor

Arslan, a webinar speaker and derivatives analyst, has an MBA in Finance and MPhil in Behavioral Finance. He guides financial analysis, trading, and cryptocurrency forecasting. Expert in trading psychology and sentiment.