Natural gas prices moved higher on Tuesday rebounding for a second consecutive trading session. Prices were buoyed following a report that showed that the weather was expected to be cooler than normal for most of the south over the next 8-14 days. There is one storm in the Atlantic that has a 10% chance of turning into a tropical cyclone but it should not impact any natural gas installations.
Natural gas prices rebounded for a second consecutive trading session on Tuesday finding resistance near the 10-day moving average at 2.78. Support is seen near the November lows at 2.52. Short-term momentum is positive as the fast stochastic generated a crossover buy signal. The fast stochastic has climbed from oversold territory and is currently printing a reading of 40, which reflects accelerating positive momentum. The RSI has also rebounded from an oversold territory which also reflects accelerating positive momentum.
LNG Exports are Unchanged
The EIA reports that US LNG exports are flat week over week. Eighteen LNG vessels with a combined LNG-carrying capacity of 64 Bcf departed the United States between November 12 and November 18, 2020, according to shipping data from the EIA. Two more tankers were loading on Wednesday, November 18, one at Freeport LNG terminal and one at Corpus Christi LNG.
Read More: Natural Gas Price Prediction – Prices Rebound but Cannot Breach Resistance