Natural Gas, WTI Oil, Brent Oil Forecasts – Oil Dives 4.5% As U.S. – Iran Talks Continue

Natural Gas Tests The $3.15 Level

Natural gas climbed above the $3.10 level as traders switched to July 2026 contract. Traders also prepare for the EIA report, which will be released tomorrow.

From the technical point of view, natural gas received support in the $3.00 – $3.05 range and is trying to settle above the $3.15 level. In case this attempt is successful, it will get to the test of the nearest resistance, which is located in the $3.20 – $3.25 range. A move above the $3.25 level will push natural gas towards the $3.50 level.

On the support side, a successful test of the support at $3.00 – $3.05 will open the way to the test of the next support level at $2.75 – $2.80.

WTI Oil Retreats Amid Middle East Peace Deal Hopes

WTI oil is under strong pressure as traders bet on Iran deal. President Trump has recently said that he was not satisfied with talks and insisted that no one would control the Strait of Hormuz. Traders remained optimistic that the deal would be reached despite Trump’s comments.

Iranian television has recently reported that a draft version of the interim peace deal has been prepared. According to the report, the Strait of Hormuz would get back to normal operations within one month. The U.S. has swiftly denied the report, noting that documents that were featured in the report were a complete fabrication.

It should be noted that Iran wants to maintain control of the Strait of Hormuz, while the U.S. insists that passage through the Strait of Hormuz should be free for all.

Interestingly, the fate of the Iranian nuclear program has not been mentioned in recent reports, which means that U.S. and Iran will discuss it later. Iranian nuclear program was the reason why U.S. and Israel started their military operation against Iran. It remains the biggest stumbling block on the road to the comprehensive deal.

At this point, it looks that both U.S. and Iran are moving closer towards a deal. Iran’s weak economy is squeezed by U.S. naval blockade of Iranian ports, while high oil prices hurt U.S. consumers.

WTI oil moved below the support at $91.00 – $91.50 and is trying to settle below the $90.00 level. In case this attempt is successful, WTI oil will head towards the next support, which is located in the $84.00 – $84.50 range.

Brent Oil Attempts To Settle Below $95.00

Brent oil suffered a sell-off as traders bet that U.S. and Iran will be forced to come up with a temporary deal to reopen the Strait of Hormuz due to economic pressures.

Brent oil pulled back below the support at $96.00 – $96.50. If Brent oil stays below the $96.00 level, it will head towards the next support level at $91.00 – $91.50. RSI is in the moderate territory, so there is plenty of room to gain additional downside momentum in case the right catalysts emerge. The technical picture stays bearish but traders should be prepared for fast moves as oil remains extremely sensitive to geopolitical news.

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