Natural gas prices moved lower and appears to be testing support levels near the December lows at 1.92. Resistance is seen near the 20-day moving average
Natural gas prices moved lower and appears to be testing support levels near the December lows at 1.92. Resistance is seen near the 20-day moving average at 2.19. Momentum has turned negative as the MACD (moving average convergence divergence) index recently generated a sell signal. This occurs as the spread (the 12-day moving average minus the 26-day moving average) crosses below the 9-day moving average of the spread.
The EIA reported Thursday that working gas in storage was 2,934 Bcf as of Friday, January 29, 2016. This represents a net decline of 152 Bcf from the previous week. Stocks were 490 Bcf higher than last year at this time and 445 Bcf above the five-year average of 2,489 Bcf. At 2,934 Bcf, total working gas is within the five-year historical range.
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.