Key Insights
- Diminishing demand projects a bearish outlook for the natural gas market in the near term.
- WTI oil’s drop below the $80 benchmark highlights traders’ response to the recent EIA report.
- Brent oil’s slide below $85.10 signifies increasing downward momentum in the market.
Natural Gas
Natural gas tests support at $2.60 – $2.65 as the pullback continues. Demand for natural gas is expected to decline, which is bearish for natural gas markets.
A move below the $2.60 level will open the way to the test of the support at $2.35 – $2.40.
WTI Oil
WTI oil moved below the $80 level as traders reacted to the EIA report and focused on China’s economic problems.
The near-term technical picture remains bearish as WTI oil declined below the support in the $80.85 – $81.75 range.
Brent Oil
Brent oil has also gained strong downside momentum after it managed to settle below the $85.10 level.
The next material support level for Brent oil is located at $81.70 – $82.85. RSI is in the moderate territory, so there is plenty of room to gain additional momentum.
For a look at all of today’s economic events, check out our economic calendar.
