Natural Gas Weekly Price Forecast – Natural Gas Gives Up Gains For The Week

Natural Gas Weekly Technical Analysis

The natural gas markets have been all over the place for the week, but it looks like we are going to end the week essentially unchanged, and this shows a bit of exhaustion. It’s worth noting that the $2.40 level did offer a little bit of resistance. And it’s also where we find the 50-week EMA. With that being the case, I think you’ve got a scenario where a little bit of a pullback makes a certain amount of sense.

And I do believe that the $2.00 level underneath is going to be the floor. As long as we can stay above the $2.00 level, I think you’ve got a situation where traders are going to continue to buy the dips, perhaps trying to do the same thing I’ve been doing and that’s anticipating the boost that you get later in the year.

As heating demand picks up in the Northeastern part of the United States prices will start to rise but right now, we’re in August so we’re focusing mainly on a potential hurricane disruption of production and of course the heat in the Southeastern part of the United States.

Both of those are temporary issues, so I would anticipate a little bit of a pullback and that should give you an opportunity to pick up a little bit of value. However, doing so with leverage is what will get you into trouble. So, for myself, I’m just using an ETF position because I can do so without leverage and just simply collect profits when we get that bounce at the end of the year.

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