Natural Gas and Oil Forecast: Will Geopolitical Tensions Drive Prices Higher?

Market Overview

Geopolitical tensions are adding uncertainty to the natural gas and oil markets, impacting price stability and supply dynamics. Concerns over potential supply disruptions, coupled with rising U.S. crude inventories, are influencing market sentiment.

Additionally, trade policies and tariffs are weighing on global economic growth projections, potentially dampening energy demand. While increased U.S. crude stockpiles suggest a supply surplus, geopolitical risks are balancing the equation by creating fears of future shortages.

Market participants are closely watching developments in global trade and geopolitical landscapes to gauge the impact on energy markets. As uncertainty persists, volatility in natural gas and oil prices is expected to continue.

Natural Gas Price Forecast

Natural Gas (NG) is trading at $4.32, up 0.12%, showing signs of a potential uptrend. The price is steadily climbing toward the pivot point at $4.35. If it breaks above this level, it could target the immediate resistance at $4.58 and possibly $4.75.

What’s particularly interesting is the formation of the “Three White Soldiers” pattern on the 4-hour chart—three consecutive bullish candlesticks that suggest strong buying interest and a solid uptrend.

This pattern typically indicates a shift from a downtrend to an uptrend, signaling bullish momentum. The 50-day EMA at $3.76 and the 200-day EMA at $3.43 provide strong support. As long as NG stays above $4.35, the outlook remains bullish. If it breaks below this level, however, we could see a selloff toward $4.17 or even $3.96.

WTI Oil Price Forecast

USOIL is trading at $71.82, down slightly by 0.01%, as it hovers just above the pivot point at $71.71. The 50-day EMA at $71.72 is acting as immediate support, indicating a cautious bullish bias. If USOIL manages to hold above this level, it could target the first resistance at $72.62, with a breakout paving the way for a move toward $73.65.

However, if prices fall below the pivot point, immediate support is at $70.38, followed by $69.32. The 200-day EMA at $72.55 acts as a crucial resistance, capping any significant upside momentum. For now, USOIL remains cautiously bullish above $71.71, but a break below could trigger a sharp selling trend.

Brent Oil Price Forecast

UKOIL is trading at $75.81, holding steady above the pivot point at $75.66. This level acts as immediate support, backed by the 50-day EMA at $75.59, which suggests buyers are maintaining control. If UKOIL can stay above this mark, the next target is the resistance at $77.05, with further upside potential toward $77.85.

The 200-day EMA at $76.05 is a key hurdle, and breaking above this level could signal stronger bullish momentum. On the downside, if UKOIL dips below $75.66, initial support is at $74.87, followed by $74.03.

With a downward trendline still in play, the EMAs are likely to support a buying trend, keeping the outlook cautiously bullish.