Natural Gas and Oil Forecast: Will Iran Tensions Push Oil Prices Back to Triple Digits?

Market Overview

Recent geopolitical tensions have heightened concerns over global oil supply stability. A ballistic missile attack by Iran has escalated conflicts in the Middle East, raising fears of potential supply disruptions.

Analysts warn that Iranian oil infrastructure may become a target, which could have a significant impact on global oil prices.

According to Saul Kavonic, senior energy analyst at MST Marquee, up to 4% of global oil supply is now at risk.

Natural Gas Price Forecast

Natural Gas (NG) is trading at $2.99, up 0.13% in today’s session, showing steady upward momentum. The price recently breached the pivot point at $2.885, turning this level into immediate support.

If the bullish momentum persists, NG could face its first resistance at $2.942, followed by $2.977 and $3.011. On the downside, immediate support is seen at $2.847, with deeper levels at $2.812 and $2.767 if selling pressure intensifies.

The Relative Strength Index (RSI) is hovering around 56, suggesting moderate bullish sentiment, while the 50-day Exponential Moving Average (EMA) at $2.885 now acts as strong support. For a clear bullish trend, a close above $2.99 would be crucial. Overall, a sustained move above $2.99 is needed for further gains.

WTI Oil Price Forecast

WTI Crude Oil (USOIL) is trading at $71.18, up 0.73% in the latest session, reflecting modest gains amid renewed buying interest. The price is comfortably above the pivot point at $70.77, indicating a positive bias.

If this momentum holds, USOIL could target the immediate resistance at $71.91, followed by $72.56 and $73.15. On the downside, support rests at $70.05, with additional levels at $69.48 and $68.90.

The 50-day Exponential Moving Average (EMA) at $69.27 and the 200-day EMA at $69.33 serve as critical support levels, underscoring a longer-term bullish trend. With the Relative Strength Index (RSI) hovering near 60, oil remains in bullish territory, yet a break below $70.77 could trigger further selling.

Brent Oil Price Forecast

Brent Crude Oil (UKOIL) is trading at $74.88, up 0.62% on the day, showing renewed strength as it hovers above the pivot point at $74.28. The price action suggests a cautiously optimistic tone, with UKOIL approaching its immediate resistance at $74.89.

A breakout above this level could pave the way for a move towards $75.40, and potentially $75.93, as bullish momentum picks up.

On the downside, immediate support stands at $73.58, with deeper levels at $72.99 and $72.44. The 50-day EMA at $72.77 and 200-day EMA at $72.86 are offering solid support, indicating a positive longer-term trend. For now, UKOIL remains bullish above $74.28, but a break below could lead to further downside pressure.