Natural Gas Price Forecast – Natural Gas Tests Trendline

Natural Gas Price Forecast Video for 13.11.23

Natural Gas Technical Analysis

Natural Gas markets stabilized a bit during the trading session on Friday, as we are hanging around the uptrend line. The 50-Day EMA sits above offering resistance, if we can turn around and break above the top of the 50-Day EMA, the market is likely to continue seeing a move toward the $3.60 level yet again. All things being equal, the natural gas markets continue to be very noisy due to the fact that we have a lot of different things moving right now.

After all, we are heading into the bullish cycle time of year when temperatures plunge, but at the same time people are suddenly aware of the fact that there might be a recession coming. This would drive down demand for energy, but I also believe sooner or later people will come back to the conclusion that traders have got a little overdone to the downside because people of course will want to heat their homes this winter.

The Europeans obviously have a major issue with the idea that the Russian natural gas is off-line, but at the end of the day, they will find natural gas in other places, most likely the United States. The Nordstream II pipeline is destroyed, and then of course we have the pipeline between Estonia and Finland has been damaged via sabotage. West Africa might or might not be viable with its trans African pipeline, as there is a lot of political instability there. Qatar has just signed a major deal with the Chinese, so that might potentially cause some major issues for European supply as well.

Looking at this market, I do think that value hunters are going to come in and try to pick this up. If we were to break above the 50-Day EMA, the market is likely to go looking toward the recent highs. Anything above there opens up the possibility of a move to the $4.00 level, possibly even as high as $5.00. Also, when you look at the chart, you can see that we have been grinding away to the upside, therefore I think there’s a real shot that although it’s going to be very noisy, it’s going to have plenty of buyers.

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