Natural Gas Price Forecast – Natural Gas Markets Break Minor Trendline

Natural Gas Technical Analysis

Natural gas markets have fallen rather hard during the Wednesday trading session, piercing the $6.00 level. At this point, the market could drop down to the lows again near $5.25, where we had seen this small uptrend line start. At this point, I think it’s probably going to continue to struggle as the Freeport LNG terminal will not be able to supply Europe with gas anytime soon. In other words, the demand part of the equation has been taken out due to the lack of supply.

The 50-Day EMA has just broken through the 200-Day EMA forming the so-called “death cross”, which is a longer-term bearish signal. Granted, it’s extraordinarily late most of the time, but a lot of algorithms will look at that through the prism of negativity.

At this point, it certainly looks as if we are continuing to look at this as a potential barrier. If we turn around a break above the 200-Day EMA, it’s possible that we could go looking to the $7 level. If we can break above there, then the $7.20 level becomes important as it was the high of the reversal that we formed.

I think the only thing you can count on is a lot of noisy behavior in this market, but that’s nothing new when it comes to natural gas. Natural gas continues to be noisy as it always is, so make sure you position size accordingly, and get a lot of notes from people who lose a lot of money in this market as it can rip your face off based upon a random weather report.

Natural Gas Price Forecast Video for 17.11.22