Oil prices increased by over 1% on Tuesday, recovering from Monday’s declines. This rise was driven by concerns about supply disruptions due to escalating Middle East tensions, strong U.S. services sector data, and production cuts at Libya’s Sharara oilfield.
Fears of Iran retaliating for recent regional attacks have intensified worries about a broader conflict, which could threaten global oil supply stability. In addition, strong growth in the U.S. services sector suggests higher demand, supporting oil prices along with gains in Asian equity markets. Production issues in Libya have further supported prices, helping to counteract some negative market sentiment and impacting forecasts for both oil and natural gas.
Natural gas is trading at $1.971, up 0.65%, as buyers cautiously enter the market. The 4-hour chart shows a pivot point at $1.98, with resistance forming around this level, suggesting potential selling pressure. Immediate resistance is at $2.02, followed by $2.09 and $2.15. Support levels are at $1.92, $1.88, and $1.82. The 50-day EMA is $1.99, and the 200-day EMA is $2.12, indicating an overall bearish trend. Prices need to surpass $1.98 to shift momentum and challenge the current downtrend.
WTI Oil Price Forecast
As of today, the technical outlook for WTI crude oil shows a slightly bearish sentiment. The price is currently at $74.11, down 0.08%. The 4-hour chart identifies key price levels to monitor. The pivot point is at $74.48, with immediate resistance at $76.22, and further levels at $77.64 and $78.80. On the downside, immediate support is at $72.72, with additional levels at $71.61 and $70.18. The 50-day EMA is at $74.99, while the 200-day EMA is at $77.54. The trend remains bearish below $74.48, but breaking above this level could shift the sentiment to bullish.
Brent Oil Price Forecast
Brent crude oil is trading at $77.26, down 0.18%, amid prevailing bearish sentiment. The 4-hour chart shows the pivot point at $77.71, suggesting that prices may face pressure if they stay below this level. Immediate resistance is at $79.10, with further hurdles at $80.45 and $81.81. On the downside, immediate support is at $74.99, with additional levels at $73.61 and $72.33. The 50-day EMA is $78.25, indicating short-term bearish momentum, while the 200-day EMA at $81.02 highlights longer-term weakness. A sustained move above $77.71 could lead to a more bullish outlook.