Natural gas prices moved lower on Tuesday after traders were unable to generate enough momentum to push the March contract above the 20-day moving average
Natural gas prices moved lower on Tuesday after traders were unable to generate enough momentum to push the March contract above the 20-day moving average at 2.14. Support on natural gas is seen near the February lows at 1.97. The recent consolidation and slight upward move appear to be placing the MACD in a position where it will generate a buy signal. This occurs as the spread (the 12-day moving average minus the 26-day moving average) crosses above the 9-day moving average of the spread.
Weather will continue to conspire against prices. The Nation Oceanic Atmospheric Administration predicts that the weather in the United States over the next 8-14 days will be warmer than normal reducing the amount of natural gas needed for heating demand.
David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.