Natural Gas and Oil Forecast: U.S. Inventory Surge Pressures Prices; Sell Now

Arslan Ali
Updated: Apr 22, 2024, 09:09 GMT+00:00

Key Points:

  • Oil prices drop as Iran-Israel tensions ease, reducing geopolitical risk in the market.
  • U.S. crude inventory spike nearly doubles projections, adding pressure to oil prices.
  • Hawkish Fed stance boosts USD, impacting oil and natural gas market forecasts negatively.
Energy Recap

In this article:

Market Overview

Natural Gas Price Forecast

Natural Gas (NG) Price Chart
Natural Gas (NG) Price Chart

Today’s technical analysis of Natural Gas (NG) reveals a modest uptick in its price to $1.962, marking a 0.31% increase. The commodity currently hovers around the pivot point of $1.93, suggesting a potential for upward momentum if it maintains above this level.

Resistance levels to watch are at $1.99, $2.04, and $2.09, which could limit further gains. Conversely, NG finds immediate support at $1.90, with further downside protection at $1.85 and $1.78.

The 50-day and 200-day Exponential Moving Averages, at $1.93 and $1.91 respectively, align closely with current prices, indicating that NG is at a critical juncture. The overall outlook is cautiously optimistic above $1.93, but a drop below could trigger a sharper decline.

WTI Oil Price Forecast

WTI Price Chart
WTI Price Chart

USOIL is priced at $81.50, reflecting a 0.68% decrease. The market is currently positioned below the pivot point of $82.72, suggesting a bearish sentiment. Resistance levels are observed at $84.49, $86.71, and $89.21, which could cap upward movements if reached. .

Conversely, support levels are found at $80.38, $78.61, and $76.72, potentially halting further declines. Technical indicators reveal a challenging outlook: the 50-day Exponential Moving Average (EMA) at $83.85 and the 200-day EMA at $82.55 provide critical thresholds.

The market stance is bearish below $82.72, with potential for a shift to a bullish bias should it breach this level.

Brent Oil Price Forecast

Brent Price Chart
Brent Price Chart

About the Author

Arslan, a webinar speaker and derivatives analyst, has an MBA in Finance and MPhil in Behavioral Finance. He guides financial analysis, trading, and cryptocurrency forecasting. Expert in trading psychology and sentiment.

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