Natural Gas, WTI Oil, Brent Oil – Natural Gas Retreats As Traders Focus On Weather
- Natural gas declined below the $2.50 level.
- WTI oil tested the $78 level after crude inventories report met analyst estimates.
- Brent oil tested the 50 EMA at $84.60.
Natural gas pulled back below the $2.50 level as bulls failed to find upside catalysts. The current demand for natural gas remains low, and the weather forecasts are not favorable for high natural gas consumption in the near term. The recent attempt to rebound did not lead to a short squeeze, and bulls will have to wait for significant upside catalysts.
WTI oil is currently trying to settle above the $78 level. Today, traders focused on the EIA report, which indicated that crude inventories increased by 2.4 million barrels from the previous week. The report also showed that domestic oil production increased from 12.2 million bpd to 12.3 million bpd. Typically, rising domestic production is bearish for WTI oil, but traders remained focused on the consequences of the recent earthquake in Turkey and Syria.
Brent oil is testing the resistance at the 50 EMA at $84.60. RSI remains in the moderate territory, and there is plenty of room to gain additional momentum in case the right catalysts emerge. A move above the 50 EMA will open the way to the test of the resistance near the $86 level.
For a look at all of today’s economic events, check out our economic calendar.