Energy News Today

Natural Gas Weekly Price Forecast

Natural gas markets have fallen a bit during the trading over the last week, but at this point in time it looks likely that we will continue to see back and forth choppy volatility, paying close attention to the $1.50 level which has been a major floor in the market over the years. All things being equal, the $2 level above continues offer significant resistance as the 50 week EMA is sitting right around there. Furthermore, it is a large, round, psychologically significant figure, so it always tends to pay attention to anyways. Underneath, if we were to break down below the $1.50 level, that would be terribly negative, perhaps a bit of a “flood” of selling coming into the market.

NATGAS Video 20.07.20

I think at this point we are more likely to go back and forth between the $1.50 level and the two pointer zero dollars level as we try to build some type of base. After all, the market is at extreme lows and the temperatures have warmed up a bit in the United States, driving demand higher. With that in mind, I think it is only a matter of time before we try to rally towards the 200 week EMA which is colored in blue on the chart. I do not necessarily think that it is going to be easy to break out here, but right now I am simply playing the range because that is really all you can do in this kind of choppy sideways environment that we find ourselves in.

For a look at all of today’s economic events, check out our economic calendar.

Read More: Natural Gas Weekly Price Forecast

2020-07-17 16:52:01

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