Natural Gas Price Forecast – Natural Gas Markets Bounce From Extreme Lows

Natural Gas Price Forecast Video for 24.02.23

Natural Gas Technical Analysis

Natural gas markets have rallied a bit during the trading session on Thursday but is still a very weak market. That being said, the market could go look into the $2.50 level, an area that of course would attract a lot of attention. With that being said, I am a bit hesitant to get long, because I also recognize that natural gas is under a lot of pressure. We are heading into the spring, and the demand for natural gas is going to drop. Furthermore, people also have to look at the idea that industrial demand will probably drop if we start to head into a recession.

If we do rally from here, not only is the $2.50 level offer resistance, we also have to look at the $3.00 level, and then maybe even as high as the 50-Day EMA near the $3.45 level. Signs of exhaustion will be selling opportunities, but I do think that we are most certainly do for a bear market rally, which could be quite brutal considering what we had seen previously. The market will continue to see a lot of volatility, but that’s nothing new for natural gas.

Short-term traders may try to take advantage of this bear market rally, but it is going to be something to be very cautious with. After all, the preponderance of the evidence still suggest that we have much more selling pressure ahead of us over the longer term, but any time things are over done like this, it does make a certain amount of sense we get some type of massive counter move. I think we are getting ready to see that now.

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