Market Analysis Summary - January 7, 2026

Natural Gas, WTI Oil, and Brent Oil Forecasts

The article provides an analysis of the current trends in the natural gas and oil markets, highlighting key movements and forecasts for each commodity.

Natural Gas

Natural gas prices have shown a rebound after a significant pullback, primarily driven by favorable weather forecasts that suggest increased demand. The current price is expected to maintain above the $3.50 level, with a potential upward movement towards the resistance levels of $3.70 to $3.75.

WTI Oil

WTI oil prices have experienced a decline as traders reacted to the latest EIA report, which revealed a decrease in crude inventories by 3.8 million barrels, contrary to the expected increase of 1.1 million barrels. Additionally, gasoline inventories rose by 7.7 million barrels, surpassing the anticipated growth of 2.9 million barrels. A successful test of the support level between $55.50 and $56.00 could lead WTI oil towards the next support range of $51.50 to $52.00.

Brent Oil

Brent oil has also pulled back, falling below the critical $60.00 mark amid a broader market decline. If Brent oil remains below this level, it is likely to test December lows around $59.00.

Conclusion

The article emphasizes the importance of monitoring inventory reports and weather forecasts as they significantly influence the pricing of natural gas and oil. Traders are advised to keep an eye on key support and resistance levels to make informed trading decisions.