Natural Gas Price Forecast – Natural Gas Markets Break Above Big Figure

The natural gas markets have rallied during the trading session on Thursday to show signs of strength yet again. In fact, it looks like we are ready to go looking towards the most recent highs, which is near the $4.20 level above. If we can clear that level, then it is very likely we go looking towards the $4.40 level. After all, there have been a couple of bullish flags that have measured for a move towards that level, and then of course there is the previous consolidation that measure for that same move as well.

NATGAS Video 27.08.21

Underneath, the 50 day EMA offer support, and it looks like we are going to continue to see plenty of a “buy on the dips” mentality, and the size of the candlestick is of course very impressive. With this being the case, I think that we still continue to focus on the heat wave in the United States, and therefore it makes quite a bit of sense that we go even higher. Whether or not we can get above $4.40 is a completely different question, but right now I think that will be the target.

If we were to somehow turn around a break down below the 50 day EMA, then it is possible that we could go looking towards the $3.60 level, which I look at as the “floor the market” currently. Breaking down below that then opens up the possibility of a major sell off, perhaps reaching towards the 200 day EMA. All of this being said, commodities continue to be a major influence on natural gas, as all of them are rising in synchronicity.

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