Natural Gas and Oil Forecast: Fed Rate Cuts and OPEC Signals Stir Market Volatility

Market Overview

WTI crude fell to $61.10 per barrel, extending its three-day losing streak as traders weighed rising supply risks against easing global trade tensions. Reports suggest OPEC+ may raise production in December, with Saudi Arabia pushing to reclaim market share.

Meanwhile, expectations of softer US sanctions on Russian producers eased supply concerns, further pressuring prices. Natural gas also traded defensively, mirroring weakness in broader energy markets.

Despite hopes for improved global trade cooperation, investors remain focused on potential output increases and shifting geopolitical dynamics that could keep oil and gas prices volatile through the end of the quarter.

Natural Gas Price Forecast

Natural gas futures are trading near $3.42, holding steady within an ascending channel on the 4-hour chart. Price action remains supported above the trendline and the 200-EMA ($3.28), suggesting that buyers are still maintaining control after last week’s rebound from $2.89.

The RSI at 55 signals moderate bullish momentum, while higher lows along the trendline reinforce short-term optimism. Key support sits near $3.31, aligning with the 38.2% Fibonacci retracement, where previous pullbacks have found stability. A bounce from this level could trigger a retest of $3.57, the recent swing high and major resistance zone.

Conversely, a break below $3.31 could expose deeper retracements toward $3.23 or $3.15. As long as prices hold above the rising trendline, natural gas is positioned for a potential continuation toward $3.70 in the coming sessions.

WTI Oil Price Forecast

WTI Crude Oil is consolidating near $61.17, showing hesitation after a strong rebound from $55.97. On the 4-hour chart, price is hovering just below the 200-EMA ($61.14), while the 50-EMA ($60.07) offers short-term support. This setup suggests a potential tug-of-war between buyers and sellers around the key $62.50 resistance zone.

The RSI at 55 shows neutral momentum, while candles with long upper wicks hint at fading buying pressure. A break above $62.54 could push prices toward $64.00, whereas a drop below $60.00 may trigger a pullback toward $58.50.

Brent Oil Price Forecast

Brent crude oil is trading near $64.76, consolidating after retreating from $66.56, its recent swing high. The 4-hour chart shows price holding just above the 50-EMA ($64.08) while facing resistance from the 200-EMA ($64.97), forming a narrow consolidation band that could set up the next move.

Momentum indicators suggest a pause in the recent recovery. The RSI at 51 signals neutral sentiment, while the fading slope hints at slowing bullish momentum.

A break below $64.00 may trigger a pullback toward $62.55, aligning with the 61.8% Fibonacci retracement and trendline support. Conversely, a close above $65.00 could reignite buying interest, paving the way for another test of $66.50.