Natural Gas and Oil Forecast: Prices Slip as OPEC+ Output Rises and Demand Softens

Market Overview

Oil prices edged lower in early Asian trading, erasing part of Monday’s modest rebound as supply pressures outweighed optimism from easing U.S. fiscal uncertainty. Both Brent and WTI benchmarks, which gained about 40 cents in the previous session, came under renewed pressure amid signs of excess production and weakening global demand.

Analysts warned that rising OPEC+ output, up 137,000 barrels per day for December, combined with sluggish consumption across major economies, is turning the oil balance increasingly bearish.

Geopolitical tensions and disrupted supply chains have further complicated market flows, with elevated storage levels across Asia signaling softer near-term demand.

Natural Gas Price Forecast

Natural Gas is trading near $4.28, slipping 2% as prices retreat from the $4.64 resistance. The chart shows a rising wedge pattern, a structure that often precedes a bearish reversal when combined with waning momentum.

The recent breakdown below the $4.41 mid-range support and trendline confirms weakening buyer control. The 20-EMA is flattening while the RSI has dropped below 50, signaling fading momentum. Immediate support lies at $4.19, followed by $4.02, where the 200-EMA aligns.

If bulls fail to reclaim $4.41, the setup favors a continuation lower toward $4.02 or even $3.89. However, a rebound above $4.45 would invalidate this short-term bearish bias and reopen a path toward $4.64–$4.86.

WTI Oil Price Forecast

WTI Crude Oil (USOIL) is trading near $59.87, holding just below the descending trendline that has limited gains since mid-October. The price remains capped under the 50-EMA and 200-EMA, showing persistent selling pressure. On the downside, immediate support lies at $58.85, followed by $57.40, while resistance sits at $60.50.

The RSI is hovering around 45, reflecting weak momentum and limited buying strength. Recent candles show indecision, hinting that traders are waiting for a clear breakout.

A close above $60.50 could shift momentum toward $62.50, while a drop below $58.85 may invite further declines toward $57.40. For now, oil remains range-bound, awaiting stronger catalysts to define its next directional move.

Brent Oil Price Forecast

Brent Crude Oil (UKOIL) is trading near $63.86, struggling to break above the $64.10 Fibonacci resistance (38.2%), which has repeatedly capped upside attempts. The price remains below both the 50-EMA and 200-EMA, keeping the short-term bias slightly bearish.

A descending channel continues to guide the broader trend, with support around $62.50 (61.8% Fib level) and $61.45 acting as a key floor. The RSI sits close to 45, suggesting neutral momentum and limited conviction from either side.
If Brent reclaims $64.10, a move toward $65.30 or $66.60 could follow.

Conversely, a break below $62.50 would expose $61.40 and deepen the correction. Until a clear breakout occurs, Brent remains in consolidation within its medium-term downtrend.