Oil Surges Amid Escalation Risks as Houthi Attacks Hit Saudi Aramco Facility

Natural gas prices are gaining momentum as traders bet on high demand driven by hot weather forecasts. The nearby resistance level for natural gas is between $3.00 and $3.05, a successful test of which could open the way to further gains.

WTI oil, meanwhile, is testing new highs amid escalating tensions in the Middle East. Reports indicate that Saudi Aramco's oil facility in Jizan was hit by Houthi attacks, causing market concerns about additional escalation.

Brent oil has also surged, with traders focusing on the risks of further conflict in the region. From a technical perspective, Brent oil has broken above the resistance level at $95.50-$96.00 and is attempting to settle above $97.50, paving the way for a test of $100.00.

The Iran-Oman deal, which would manage shipping through the Strait of Hormuz, could boost traffic but may also lead to another round of escalation, further supporting oil prices. WTI oil needs to settle below $92.00 to gain downside momentum, while Brent oil requires a settlement above $97.50 to continue its upward trajectory.