Natural Gas Price Forecast – Natural Gas Markets Were Stagnant on Thursday

Natural Gas Price Forecast Video for 23.06.23

Natural Gas Technical Analysis

Natural gas markets have done very little during the Thursday session early, as we continue to see a lot of hesitation. At this point, the market is likely to continue to see a lot of confusion, as we are waiting to see whether or not the summertime range will continue to hold as natural gas demand typically drops. However, there are few dynamics and natural gas at the moment that have to come into the picture of your calculation, not the least of which would be the fact that the European Union will have to replace its natural gas supply due to the fact that they no longer have it coming in from Russia, and of course, the Groningen fields are closing down in Holland.

It is because of this that I do believe in the future we will see another big spike, not the least of which would be exacerbated by heat waves in the United States if and when they come, which of course they always do. Short-term pullbacks could be a buying opportunity, but I think you need to be very patient at this point. There were also concerns about hurricanes possibly forming in the Atlantic, which could shut down some of the refining work in the Gulf of Mexico.

From a technical analysis standpoint, we have the 50-Day EMA basically right around the middle of the area between the $2.00 level and the $3.00 level. Ultimately, this is a market that is stuck in that range, and I do think they we will continue to pull back occasionally, but the $2.00 level continues to look like a floor in the market at the moment, so it does look like it’s going to hold longer term. That being said, the natural gas markets are of course very noisy, as they do tend to move on weather patterns as well. A lot of this will come down to your timeframe, but if you are a longer-term investor, pullbacks probably will offer value because as we head into the end of summer, Europe has a major problem waiting.

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