Natural gas prices broke out last week, closing Friday above trend line resistance, but opening in the electronic pre-market below former resistance.
Natural gas prices broke out last week, closing Friday above trend line resistance, but opening in the electronic pre-market below former resistance. Prices continue to be buoyed by a larger than expected draw in natural gas inventories reported last week by the Department of Energy. Inventory levels are now at a 5-year low, and could continue to move lower if the weather gets colder. The forecast for the next 8-14 days is mixed with colder weather covering most of the west, and warmer than normal weather covering most of the east coast.
Momentum is Positive
Support on natural gas is seen near the 10-day moving average at 2.98. Momentum remains positive as the MACD (moving average convergence divergence) histogram prints in the black with an upward sloping trajectory which points to higher prices.
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.