Natural Gas Price Forecast – Natural Gas Continues to Hover Around Big Number

Natural gas markets initially pulled back during the trading session on Tuesday, but then turned around to break above the $4.00 level yet again, as we have seen this market use the $4.00 level as a bit of a magnet for price. When you look at the chart, if you squint just a bit you can see that there is the possibility of a bullish flag, so I think it is probably only a matter of time before we reach to the upside.

NATGAS Video 04.08.21

If we can break above the $4.10 level, then I would suggest that that bullish flag will have kicked off a move to the upside, opening up the possibility of a move to about $4.40. That is the same measurement that we had from the previous bullish flag and of course the consolidation area underneath between the $2.40 level and the $3.40 level. All things are pointing to a move in that general direction, and as a result I think it is only a matter of time before we get to that level.

With the heat wave in the United States continuing, then it should continue to drive the natural gas markets higher. Furthermore, the commodity boom continues, so as a general “knock on effect”, we should continue to see natural gas rise as a result. When you look at this chart, there is really nothing on this market chart that looks negative, so I think you continue to buy the dips underneath, as the $3.80 level has shown itself to be crucial every time, we have gotten close to it. The 50 day EMA is snaking along the way as well and rising.

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