Natural Gas markets have a strong week

Natural gas markets initially fell during the week but then turned around to break above the $2.80 level again and reach towards the $2.85 level. There is the top of the up-trending channel to pay attention to, and if we can break above the top of the uptrend line, it’s likely that we will continue to go towards $2.90, and then eventually the $3.00 level after that. I think the market will continue to respect the $3.00 level as massive resistance. I don’t expect this market to break above there, but I believe that the volatility is certainly something that could jump back into the market at any moment. Because of this, you are better off trading this market from a low leverage position, perhaps in the CFD market as if you have the ability.

It certainly looks as if the buyers are in control, but a pullback to build up the necessary momentum would not be much of a surprise. I would anticipate the $2.80 level to be supported, as it was significant resistance over the last several months. I believe that this marketplace will be affected by short-term thinking as per usual, in right now looks like we are focusing more on that hot weather in the United States. It’s very likely that the one thing you can count on is a lot of noise in this market.

NATGAS Video 21.05.18