Natural Gas and Oil Forecast: OPEC+ Output Decisions to Dictate Market Moves

Market Overview

Oil prices are set for their first monthly decline since November, pressured by uncertainty over global economic growth and fluctuating fuel demand. Geopolitical tensions and ongoing trade disputes have dampened investor sentiment, overshadowing supply concerns. Additionally, rising jobless claims and slower U.S. economic growth have heightened fears of a demand slowdown.

OPEC+ faces challenges in deciding whether to increase output or maintain current levels amid shifting supply dynamics. Meanwhile, market analysts note that oil prices are finding technical support between $65 and $70 per barrel. The complex geopolitical landscape continues to shape the energy market’s near-term outlook.

Natural Gas Price Forecast

Natural Gas (NG) is trading at $3.92, showing a slight gain of 0.08%, but the outlook remains cautious. The price hovers just below the Pivot Point at $3.99, a critical level that could dictate the next move. If NG breaks above $3.99, it might trigger buying interest, potentially pushing prices towards the next resistance at $4.09, followed by a stronger barrier at $4.23.

On the downside, immediate support is at $3.75, with a more substantial floor at $3.55. If prices drop below $3.75, the selling pressure could intensify. The 50-day Exponential Moving Average (EMA) at $3.99 is acting as resistance, keeping the bearish bias intact. The trend remains bearish below $3.99, but a decisive break above this level could shift momentum to the bulls.

WTI Oil Price Forecast

USOIL trades at $69.93, registering marginal gains on the four-hour timeframe. The $70.08 pivot point establishes the immediate directional parameter. Support is identified at $69.21, with subsequent support at $68.34.

Resistance levels are positioned at $71.15 and $72.03. The 50-day EMA, at $69.85, indicates potential short-term weakness relative to the pivot. The 200-day EMA, at $71.14, reinforces a prevailing bearish long-term trend.

A sustained position below $70.08 suggests continued downward pressure. Conversely, a breach above this level could induce a shift towards bullish momentum.

Brent Oil Price Forecast

UKOIL remains near $73.14, exhibiting negligible movement on the four-hour chart. The pivotal $73.72 level dictates near-term directional bias. Immediate support at $72.80, if breached, targets $71.88. Conversely, resistance is observed at $75.23, with subsequent resistance at $76.19.

The 50-day EMA at $73.52, positioned slightly below the pivot, indicates potential short-term weakness. The 200-day EMA at $74.95 reinforces a prevailing longer-term bearish trend.

A sustained position below $73.72 suggests continued downward pressure. A breach above, however, could precipitate a shift towards bullish momentum.