Natural Gas Price Forecast – Natural Gas Markets Bounced Slightly

Natural Gas Price Forecast Video for 01.06.23

Natural Gas Technical Analysis

Natural gas markets rallied a bit during the trading session on Wednesday, as it looks like we are going to go looking toward the 50-Day EMA. The 50-Day EMA is an indicator that a lot of people pay close attention to, but it is also flat, so I suspect that it will have limited effect. Furthermore, we have sliced through that indicator a couple of times now, so I do think that it’s probably a scenario where we have to keep an eye on where we are going.

The $2.00 level underneath is a support level that a lot of people would be paying close attention to, not only due to the fact that we had seen support previously, but it’s also a large, round, psychologically significant figure. When I look at that level, and look at historical charts, and recognize that we could have a bit of a “squishy support zone” extending down to the $1.80 level. However, breaking down below all of that is probably going to be difficult, and I also think that we are extensively in what would be thought of as a summer range, with the $2.00 level being the bottom, and the $3.00 level being the top.

As long as we are in the summer range, I think that employing some type of range bound system is probably going to work out quite nicely, but I do favor the downside. In the short term, I suspect that this market will bounce a bit, but somewhere around $0.20 above, I will be looking for signs of exhaustion that I can start selling again as demand will be dropping, especially industrial demand.

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