Natural Gas and Oil Forecast: WTI Targets $62.93 After Breakout – What’s Next?

Market Overview

Energy markets are experiencing renewed volatility as geopolitical tensions and supply dynamics drive price fluctuations. WTI crude oil recently rose above $61.00, with both benchmarks gaining over 4% last week, marking their first weekly advance since mid-April.

This surge reflects a mix of supply concerns and easing trade uncertainties. Meanwhile, OPEC+ is set to increase production in May and June, although a recent Reuters survey indicates OPEC’s output actually fell in April.

Additionally, U.S. energy firms have cut active oil and gas rigs to their lowest levels since January, according to Baker Hughes, signaling potential future supply constraints.

Natural Gas Price Forecast

Natural gas futures are trading around $3.734, approaching the upper boundary of a well-defined ascending channel. The price recently pulled back from the $3.825 resistance level, a critical barrier that has capped gains in recent sessions. This level represents a key psychological zone for traders, with a potential breakout setting the stage for a move toward $3.926, followed by the significant $4.020 resistance.

On the downside, immediate support lies at $3.722, aligning closely with the lower trendline of the ascending channel. A break below this level could expose natural gas to further downside toward the $3.626 support, followed by the 50-day EMA at $3.644, which acts as a critical support for the ongoing uptrend.

Natural gas is testing the upper boundary of its ascending channel, with a break above $3.825 potentially signaling a continuation toward $3.926. However, a pullback below $3.722 could risk a deeper correction, targeting the $3.626 area.

WTI Oil Price Forecast

WTI crude oil is trading around $61.81, making a decisive break above the key $61.00 resistance level, which had previously acted as a strong barrier. This move, supported by a rising trendline, indicates a potential shift in sentiment as bulls regain control.

The next immediate resistance is at $62.93, a level that aligns with a key horizontal resistance from late April. Clearing this level could open the path toward $64.66, representing a significant upside if momentum holds.
On the downside, immediate support lies at $61.00, with the 50-day EMA at $59.82 providing a secondary support layer.

A break below these levels could expose the price to a deeper correction toward $58.86. WTI crude is building momentum above $61.00, targeting $62.93 next. A break above this level could confirm a broader bullish reversal, while failure to hold above $61.00 risks a pullback to the $59.82 area.

Brent Oil Price Forecast

Brent crude oil is trading around $64.66, moving higher within a defined ascending channel. The price has recently surpassed the $64.07 horizontal resistance, a level that previously limited gains. This breakout, backed by consistent upward price action, suggests that buyers are regaining control.

The next significant resistance is at $66.47, closely aligning with a key horizontal zone from late April. Overcoming this level could open the way toward $67.50, marking a potential upside if buying pressure continues. On the downside, immediate support is found at $64.07, with the 50-day EMA at $62.75 providing a critical secondary support level.

If the price falls below these support levels, it could trigger a deeper correction toward $61.94. Brent crude remains supported above $64.07, targeting $66.47 as the next key level, while a break below this range could signal a broader pullback.