Natural Gas Price Forecast – Natural Gas Markets Bounced Slightly on Tuesday

Natural Gas Price Forecast Video for 14.06.23

Natural Gas Technical Analysis

Natural gas markets rallied just a bit during the trading session on Tuesday, as it looks like we are trying to reach toward the 50-Day EMA above. The 50-Day EMA is an indicator that people will pay close attention to, and it clearly has been important in the natural gas markets. As things stand right now, this looks like a market that continues to see a lot of back and forth as we are in the midst of summer, which is typically a very quiet time of year for natural gas.

That being said, the $2.00 level underneath should be important, and I think it is an area that could offer significant support. Beyond the 50-Day EMA, we have the $3.00 level as a major resistance barrier, as we have seen a lot of selling pressure in that area previously. Furthermore, it’s a psychological barrier so that has a lot to offer as well.

Ultimately, the natural gas market tends to be very noisy and choppy during the summertime, but it tends to trade in a very tight range. This makes sense, due to the fact that the demand for heating drops off of a cliff. At the same time, we also have the slowing down of the global economy, with the industrial demand for natural gas certainly falling right along with it. Because of this, I don’t expect to see much in the way of big moves over the next several months, but eventually we will see the natural gas markets breakout of the range, due to the fact that the European Union will almost certainly have refill storage tanks with natural gas later this summer. In the meantime, it’s all about going back and forth in a very tight range.

For a look at all of today’s economic events, check out our economic calendar.