Natural Gas Retreats Amid Profit-Taking
Natural gas pulls back as traders take some profits off the table near multi-week highs and focus on warmer weather forecasts.
In case natural gas declines below the $3.15 level, it will head towards the nearest support, which is located in the $3.00 – $3.05 range. A move below the $3.00 level will open the way to the test of the 50 MA at $2.96.
On the upside, natural gas needs to climb back above the $3.25 level to have a chance to gain momentum in the near term. In this case, natural gas will head towards the resistance at $3.40 – $3.45.
WTI Oil Tests New Highs
WTI oil gains ground as traders stay focused on the situation in Saudi Arabia. The country’s main airport in Riyadh stays closed due to safety issues. Saudi Arabia is trying to find a way to put pressure on Iran-backed Houthis, which have attacked the country in recent weeks, but it remains to be seen whether it would find a way to deal damage to the militant group. The Houthis have already proved that it is extremely hard to defeat them.
The potential energy truce between Russia and Ukraine, which has recently been announced by President Trump in a Truth Social post, did not materialize. The countries continue to attack each other’s energy assets. Russia has recently said that Ukrainian drones attacked two oil refineries. Ukraine noted that Russia attacked its energy facilities in the country’s capital.
Meanwhile, Russia prepares to export diesel after U.S. temporarily lifted sanctions on such sales. Before recent problems, which were caused by attacks on its refineries, Russia was one of the world’s biggest exporters of diesel.
Traders are also trying to evaluate how many vessels are going through the Strait of Hormuz as recent reports indicated that Iran increased attacks.
Currently, WTI oil is trying to settle above the $95.00 level. In case this attempt is successful, WTI oil will head towards the nearest resistance level at $96.50 – $97.00. A move above the $97.00 level will open the way to the test of the next resistance at $100.50 – $101.00. RSI is in the moderate territory, so there is plenty of room to gain additional upside momentum in case the right catalysts emerge.
Natural Gas Price Forecast
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See all Natural Gas forecastsBrent Oil Remains Stuck Near The $106.00 Level
Brent oil is swinging between gains and losses as traders continue to take profits after the strong move. It looks that Brent oil will need additional positive catalysts to gain additional upside momentum in the near term.
The nearest resistance level for Brent oil is located in the $109.00 – $109.50 range. In case Brent oil settles above the $109.50 level, it will head towards the $114.00 level. On the support side, a successful test of the support at $101.50 – $102.00 will open the way to the test of the support level at $97.00 – $97.50.
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