EMD043 - Technicals: Crude Consolidates, Gas Extends Breakout

Welcome to Energy Markets Daily, an AI-powered podcast by Daily Dominance. Tuesday, October 28, 2025 — Technicals: Crude Consolidates, Gas Extends Breakout. Today, we dive into the charts, dissecting the immediate price action in crude oil and natural gas to identify the levels that matter for strategic positioning. Crude oil is working to consolidate its dramatic gains from last week, a direct response to the new U.S. sanctions on Russian oil and the unexpected draw in U.S. inventories. Brent crude is holding firm around $66.25 per barrel, while WTI is trading near $61.75. Technically, crude is attempting to gain bullish momentum, pushing against a key resistance level at $61.75 for WTI. A decisive breach and sustained hold above this level, particularly above the 50-day moving average at approximately $61.80, could signal a strengthening short-term uptrend, potentially targeting the $62-$63.50 zone and even pushing towards the 200-day moving average at $65.83. However, the broader trend remains neutral to bearish until a clear breakout is confirmed. Key support for WTI is now in the $58.00-$57.50 zone; a break below this could reignite bearish pressure. Natural gas, in stark contrast, is extending its powerful breakout. Henry Hub prices are holding above $3.30 per MMBtu, reflecting continued bullish momentum. Despite a larger-than-expected storage build of 87 billion cubic feet for the week ending October 17th, the market has absorbed this supply, demonstrating the resilience of underlying demand. Technically, natural gas is consolidating above the crucial $3.00 psychological level, with immediate support anticipated around this area. A sustained move above $3.60 could open the door for a push towards the $4.00 level, aligning with EIA forecasts for Henry Hub prices to reach $4.10 by January 2026. The key drivers remain strong LNG exports and colder weather forecasts for late October across the central and eastern U.S. The levels that matter. For crude, watch $61.75 on WTI as a critical resistance. A break above confirms bullish intent, while a fall below $57.50 would be a red flag. For natural gas, $3.30 is the immediate support; holding this level confirms the extension of its breakout, with $3.60 as the next upside target. Catalyst watch. For crude, any further news regarding the impact of Russian sanctions or shifts in global demand will be paramount. For natural gas, updated weather forecasts for early November and continued LNG export volumes will dictate the next move. Energy capital inquiries: energymarkets@protonmail.com — subject: Energy Capital.