Natural gas prices rebounded on Thursday rising more than 3.5%, despite warmer than normal weather that is expected to cover most of the United States for
Natural gas prices rebounded on Thursday rising more than 3.5%, despite warmer than normal weather that is expected to cover most of the United States for the next 8-14 days. The EIA reported a larger than expected build in natural gas inventories. Prices surged to resistance near 3, and a close above this level would lead to a test of the 3.10 level. Support on natural gas is seen near an upward sloping trend line at 2.90. Momentum is turning positive as the MACD (moving average convergence divergence) index is poised to generate a crossover buy signal.
Working gas in storage was 3,595 Bcf as of Friday, October 6, 2017, according to EIA estimates. This represents a net increase of 87 Bcf from the previous week, compared to the 85 Bcf expected. Stocks were 153 Bcf less than last year at this time and 8 Bcf below the five-year average of 3,603 Bcf. At 3,595 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.