Natural Gas Price Forecast – Natural Gas Markets Break Out Again

Natural Gas Technical Analysis

Natural gas markets have rallied significantly during the trading session on Monday to show signs of strength again as there is more maintenance scheduled for Nordstream pipelines, thereby cutting off supply from Europe again for a couple of days. At this point, the market is likely to continue seeing a lot of upward pressure, but quite frankly this is a situation where we continue to see extreme amounts of volatility. Because of this, you will see sudden moves higher, but just as quickly you will see the market breakdown at times.

Underneath, the $9.00 level will now be thought of as support, and if we can break down below that level, then it’s likely that we could go down to the 50 Day EMA underneath. Ultimately, this is a market that is overextended, but the fact that we broke through all of that resistance is a very strong sign. Pullbacks at this point have to be thought of as shorter-term trades, at least until we break down below the 50 Day EMA on a daily close. Quite frankly, Europeans are not going to be buying natural gas from the Americans, but that has not mattered in the past, so it should probably not matter in the future.

If we were to break above the $10.00 level, that opens up a whole new leg of the bullish run, something that we certainly do not want to see from an economic standpoint, but at this point, it seems to be a very real threat. Furthermore, once the Europeans had into winter, things are going to be extraordinarily difficult for that part of the world. Ultimately, this is a lot of noise just waiting to happen.

Natural Gas Price Forecast Video for 23.08.22

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