Natural Gas Weekly Price Forecast – Natural Gas Markets Continue to Hover Around 50-EMA

Natural Gas Price Forecast Video for 06.11.23

Natural Gas Weekly Technical Analysis

Natural gas markets have gone back and forth in the course of the week, as we continue to see a lot of noisy behavior. All things being equal, this is a market that continues to try to build up enough pressure to break out as we are heading into the colder months. After all, demand for natural gas is going to pick up rather soon. Also, we have geopolitical issues in the Middle East that will continue to put a lot of pressure on potential supply. Beyond that, we also have the lack of Russian gas, which causes major problems for the Europeans.

Looking at this chart, if we were to break above the top of the candlestick, it’s likely that the natural gas markets could go look into the 200-Week EMA above, which obviously is a technical indicator that people pay attention to. If we break above that level, then the market is likely to go looking to the $4.00 level, and then possibly the $5.00 level.

Short-term pullbacks will have plenty of support underneath, with the $3.00 level underneath being a bit of a “floor in the market”, and therefore I think you got a situation where if we were to break down below there, it would probably destroy all of the narrative that we currently have. Nonetheless, the market has been grinding away somewhat steadily for a while, therefore I think it’s likely to continue to see upward pressure.

Ultimately, I like natural gas because I think the next couple of months could be very good for pricing due to the fact that the colder temperatures will drive up demand, but we also have a lot of questions to ask about the pipeline from Estonia to Finland, the obvious lack of Russian gas, and of course the Western Africa pipeline that is now up in the air. All things being equal, the market is likely to continue seeing a lot of volatility, but I do think that eventually we will go much higher. Because of this, I have been investing in natural gas for a while and will continue to do so.

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