Natural Gas and Oil Forecast: USOIL Up 0.08%, NG Down 0.04% Amid China Hopes

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Updated: May 14, 2024, 09:31 GMT+00:00

Key Points:

Oil prices rise amid Chinese economic optimism and Alberta wildfire threats.
Flat Chinese oil imports reflect slow post-COVID recovery despite economic growth.
Upcoming OPEC+ meeting and US inflation data crucial for global supply dynamics.

Market Overview

Oil prices increased, driven by improved economic prospects in China and wildfire threats in Alberta. Chinese inflation data for April indicated a continued economic recovery, raising hopes for sustained demand growth. However, China’s oil imports in April remained flat compared to the previous year due to a slow post-COVID recovery.

The Alberta wildfire, leading to evacuation alerts in Fort McMurray, further supported oil prices by threatening supply. The OPEC+ meeting in June remains crucial for global supply dynamics.

Additionally, a stable dollar, ahead of the upcoming US inflation data, also contributed to higher crude prices. For natural gas, similar supply concerns and global economic conditions could impact prices, especially with the upcoming OPEC+ meeting influencing broader energy market trends.

Natural Gas Price Forecast

Natural Gas (NG) Price Chart

Natural Gas (NG) is trading at $2.36, down 0.04%. The 4-hour chart identifies the pivot point at $2.39. Immediate resistance is at $2.43, with subsequent resistance levels at $2.47 and $2.51. On the downside, immediate support is found at $2.31, followed by $2.27 and $2.23.

The 50-day EMA is currently at $2.19, while the 200-day EMA stands at $1.98. The outlook remains bearish below $2.39, but a break above this level could signal a shift to bullish momentum.

WTI Oil Price Forecast

WTI Price Chart

USOIL is trading at $83.45, up 0.08%. On the 4-hour chart, the pivot point is at $84.46. Immediate resistance levels are $85.57, $86.55, and $87.73. Immediate support levels are $82.08, $80.99, and $79.65.

.The 50-day EMA is at $83.87, while the 200-day EMA is at $85.60. The outlook remains bearish below $84.46; a break above this level could signal a shift to a bullish trend.

Brent Oil Price Forecast

Brent Price Chart

UKOIL is currently priced at $83.45, showing a slight increase of 0.08%. The 4-hour chart highlights key price levels. The pivot point is at $84.46. Immediate resistance is observed at $85.57, with further resistance levels at $86.55 and $87.73. On the downside, immediate support is at $82.08, followed by $80.99 and $79.65.

The 50-day EMA stands at $83.87, while the 200-day EMA is at $85.60. The technical outlook remains bearish below $84.46, but a break above this level could trigger a bullish trend.

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About the Author

Arslan Aliauthor

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.