Natural Gas And Oil Forecast: Dip Buyers Step In – Can WTI Hold $63 And Push Higher?

Key Points:

Market Overview

Oil prices fell by about 2% after new diplomatic efforts helped ease supply concerns linked to tensions in a major energy-producing area. This drop came after a 3% jump the previous day, when uncertainty over upcoming talks had pushed prices higher.

Analysts say that although recent talks have lowered the risk of immediate disruptions, ongoing disagreements could quickly bring back price swings. About 20% of the world's oil travels through key shipping routes, so markets remain sensitive to any rise in tensions.

Recent inventory data showed that US crude stocks dropped last week, which tightened supply even as overall risk concerns in energy markets eased.

Natural Gas Price Forecast: $3.50 Holds as Rising Channel Stays Intact

Natural Gas (NG) Price Chart

Natural gas futures are trading around $3.53 after a strong rally and a pullback. The 4-hour chart shows candles with small bodies above $3.20, which suggests the market is consolidating instead of selling off.

The price is still above the rising trendline from mid-January and above the 50-EMA near $3.30, which keeps the short-term outlook positive.

The 200-EMA at about $2.60 is still moving higher, supporting the overall bullish trend. Resistance is near $3.75 and then $4.45, where sellers have stepped in before.

Support is at $3.20 and $3.00, which matches the base of the channel. The RSI has bounced back to about 55, showing momentum is recovering but not overbought.

Trade idea: Consider buying on dips near $3.25, aiming for $3.75, and set a stop below $3.00.

WTI Crude Oil Price Forecast: $63.90 Holds as Uptrend Faces a Momentum Test

WTI Price Chart

WTI crude oil is trading around $63.90 after a strong rally that nearly reached $66.40. The 4-hour chart shows candles with long wicks and small bodies, which suggests the market is pausing instead of selling off sharply.

The price is still above the rising trendline from early January and above the 50-EMA near $63.10, which keeps the overall outlook positive. The 200-EMA at about $60.80 is also moving higher, adding more support to the trend.

Resistance is between $65.00 and $66.40, while support is first at $63.10 and then at $61.20. The RSI has dropped to the mid-50s, showing that momentum is now more balanced after being overbought.

Trade idea: Consider buying on dips near $63.10, aiming for $65.80, and set a stop below $61.20.

Brent Oil Price Forecast: $68 Holds as Bulls Defend Trendline Support

Brent Price Chart

Brent crude oil is trading around $68.10 after pulling back from a recent high near $70.60. The 4-hour chart shows candles with long lower wicks near $67.00, which points to buyers stepping in rather than heavy selling.

The price is still above the rising trendline from early January and above the 50-EMA near $67.00, which keeps the short-term outlook positive. The 200-EMA at about $64.80 is also moving higher, supporting the overall uptrend.

Resistance is grouped around $69.10 and $70.60, while support is at $67.00 and $65.50. The RSI has moved back to the mid-50s, showing that momentum is steady after cooling off.

Trade idea: Look to buy near $67.00, target $69.80, and place a stop below $65.50.

Source: FX Empire