Natural Gas Price Forecast – Is Winter Canceled?

Natural Gas Price Forecast Video for 21.11.23

Natural Gas Technical Analysis

Natural gas markets have fallen a bit during the trading session on Monday again, as traders are ignoring the weather component, and starting to worry about the idea that a recession is going to destroy demand for energy. While that may or may not be the case, it’s probably worth noting that crude oil has turned around a bit, and it does suggest that perhaps there is some type of hope for the energy markets. Having said that, if you been following me here at FX Empire, you know that I have been treating this as an investment, using a non-levered position with the ETF markets. Because of this, the losses have been mitigated, and I am at roughly about 1% profit.

That being said, it is only a matter of time before we get more bullish pressure later this winter, as the European Union is going to have struggle finding natural gas, and then of course we have to worry about the idea that there are several other factors such as pipelines that are not supplying natural gas to the continent of Europe. The natural gas markets will have to worry about whether or not demand picks up and of course if the recessionary headwinds aren’t as bad as the market is trying to price in at the moment, that could provide a huge rip higher as well. I still look for a move to the $4.00 level by the end of the winter, if not the $5.00 level.

However, as I stated previously, I have been trading the ETF market, which for those of you outside of the stock market you can use the CFD market, the key here is that it is a cyclical trade, therefore it’s not necessarily something that I’m looking to get extraordinarily huge with my position. In general, this is a market that I think continues to see the 50-Day EMA above as a potential resistance barrier, but it also serves as a target. At this point, we will continue to see a lot of noise, but it’s also worth noting that at the peak we had already gained 40%.

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