Forecast for natural gas prices – Natural gas markets continue to build base

The natural gas markets have gone back and forth during the trading session last Friday as we continue to see a lot of support right at the uptrend line that had been part of my triangle on the chart. At this point, it looks like the market is struggling to get above the $ 5.00 level, but if we can, it could start a bit of a recovery. Keep in mind, though, that we’ve seen weaker structure lately, so it makes some sense that we can continue to go lower. If we do, we start looking at the $ 4.50 level, possibly the $ 4.00 level then.

NATGAS Video 22.11.21

Natural gas markets tend to be very noisy this year, as recent weather forecasts may or may not drive prices higher. That said, it’s also worth noting that since we’re trading on the December contract, it’s not going to be long before we start looking at spring contracts, which of course bring in a whole different dynamic, as temperatures in the US will start picking up again.

Ultimately, this is a market that will probably be more or less a reach in the short term, but the question now is whether we have hit the top for the winter? I know many people mention the problems with natural gas in Europe, but the reality is that most of the natural gas sold on the Henry Hub contracts stays in the United States, as Ellen G is not necessarily easy to transport.

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

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