Natural Gas and Oil Forecast: Can Brent Hold $66 Support as Channel Uptrend Faces Test?

Market Overview

Crude oil prices dropped below $65 per barrel, with WTI futures extending their decline amid rising global inventory projections. The U.S. Energy Information Administration (EIA) now expects oil stockpiles to increase by 0.8 million barrels per day in 2025, double last month’s estimate on the back of slowing demand and rising output.

Natural gas sentiment also softened as geopolitical tensions continued to cloud the broader energy outlook. While U.S. crude inventories unexpectedly declined by 370,000 barrels, the surprise drawdown failed to offset bearish sentiment.

Modest optimism from improving U.S.-China trade relations provided limited support to demand expectations.

Natural Gas Price Forecast

Natural Gas futures ($NGN2025) are showing signs of exhaustion after failing to hold above $3.75, followed by a steep drop below both the 50 EMA ($3.631) and 200 EMA ($3.675). Price has settled around $3.555, just above key support at $3.51.

There is a falling trendline capping upside momentum, and unless we break above $3.592, the short-term bias remains bearish. Still, the candles are starting to flatten out, with no new lows, possibly indicating a base is forming.

A bounce above $3.59 could challenge $3.664 again. Until then, sellers remain in control. Watch for a break of $3.51 to expose $3.437. No bullish reversal candlesticks yet no hammer, no engulfing, so caution is warranted.

WTI Oil Price Forecast

WTI Crude Oil ($USOIL) remains inside a steady ascending channel, bouncing off the lower trendline with a mild recovery from the $64.66 region, right near the 50 EMA ($64.48). That area is acting as a dynamic support, and the price is printing a higher low, signaling trend continuation.

The $65.60 level serves as immediate resistance, with the next ceiling located near $66.22. Support below sits at $64.15, then $63.48. No reversal candles here—no doji, no engulfing—but the recent bullish candles near trendline support show buyers are still showing up.

The 200 EMA at $62.90 remains comfortably below, confirming the bullish structure. If this bounce holds, we could see another attempt at $66+. For now, the trend remains intact unless $64 breaks.

Brent Oil Price Forecast

Brent Crude ($UKOIL) is holding within a rising channel, with price recently rebounding off both the ascending trendline and 50 EMA ($66.32), now acting as dynamic support. The structure’s still bullish with higher lows intact, and while the pullback to $66.45 looked sharp, bulls are trying to reassert control.

We haven’t seen a reversal pattern just yet—no hammer or engulfing—but the recent green candle suggests pressure’s building again. Immediate resistance stands at $67.30, with $67.93 and $68.51 the following targets.

On the downside, support is located at $66.45 and then at $65.78. The 200 EMA near $65.20 adds another layer of safety. So long as price holds above the channel’s lower boundary, the uptrend remains the dominant narrative.