Natural Gas Markets Continue Consolidating

Natural Gas Technical Analysis

Natural gas markets have rallied a bit during the trading session on Wednesday as we continue to hang about the $5.50 level. The $5.50 level has been important multiple times, so it should not be a huge surprise that we have stalled in this area. The market looks as if it is going to test the highs again, and so now the question will be whether or not it can break above there. If it does, then the next target would be the $6.00 level, which of course is an area where we had seen a lot of selling pressure previously.

On the other hand, if we break down below the lows of the reversal candlestick on Wednesday, then that opens up fresh selling down to the $5.00 level. Natural gas markets are moving on pure emotion at the moment, as there are reports that the European Union may start buying LNG from the United States. However, that does not affect supply at the moment, so it will be interesting to see whether or not this holds.

I do believe that at the moment we are simply trying to figure out what to do with ourselves, and therefore it is not necessarily an easy markets trade. I have had a couple of signals to sell, some of which have worked out, some of which have not. This is the epitome of a market that is currently trying to figure out its next big move.

Natural Gas Price Predictions Video 31.03.22

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