Natural gas prices surged higher making a fresh high for July but was unable to break through resistance near 3.11, and fell into the close. Prices
Natural gas prices surged higher making a fresh high for July but was unable to break through resistance near 3.11, and fell into the close. Prices generated an outside day with a higher high a lower low and a lower close. The decline comes despite a smaller than expected increase in natural gas inventories. Support is seen near the 10-day moving average at 3.0. Resistance remains at 3.11. 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.
The EIA reported that working gas in storage was 2,973 Bcf as of Friday, July 14, 2017. This represents a net increase of 28 Bcf from the previous week, compared to the 32 Bcf expected. Stocks were 299 Bcf less than last year at this time and 141 Bcf above the five-year average of 2,832 Bcf. At 2,973 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.