Natural Gas Price Forecast – Natural gas continues to grind sideways

The natural gas markets went back and forth during the trading session in a slightly negative bias as the market simply continue to trade in a larger consolidation area that we have been talking about for some time. That being said though, it’s obvious that the downside has a bit more strength to it.
Christopher Lewis
Natural gas daily chart, April 12, 2019

Natural gas markets went back and forth during the trading session on Thursday, as we continue to try to reach one of the size of the larger consolidation area. The market of course has a lot of support down at the $2.60 level, an area that I’ve been talking about for some time. I believe that area also extends down to the $2.50 level, so it’s essentially a $0.10 range. Any move towards that area should produce a bounce and a short-term buying opportunity. If we were to break down below the $2.50 level that would be somewhat catastrophic for natural gas.

NATGAS Video 12.04.19

To the upside, we have a lot of resistance at the $2.90 level that extends to the $3.00 level. If we were to break out above the $3.00 level, natural gas will probably climb quite drastically. All of that being said, it’s likely that we simply bounce around between those two ranges. If that’s going to be the case, then we can take advantage of trades as we approach those levels, but we also need to recognize that patients will be paramount when it comes to trading this market, because quite frankly they are so strong that it’s going to be difficult to break out of it. Beyond that, we are entering the time of year where natural gas tends to be range bound anyway, so going back and forth between these levels makes a lot of sense. That being said there’s a lot of money to be made in natural gas if you are patient enough to wait for the right area to buy or sell.

Please let us know what you think in the comments below

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US