Natural Gas Price Forecast – Natural Gas Markets Continue Recovery

Natural Gas Technical Analysis

The natural gas markets have rallied during the trading session on Wednesday as we continue to see a recovery from the $6.50 level below. After forming that massive hammer on Tuesday, it gave us a bit of a “heads up” on where we could be going next. By doing so, breaking above the top of the candlestick confirmed the move. At this point, it looks like the natural gas markets could go looking to the $8.00 level above, but keep in mind that the only thing you can probably count on at this point in time is volatility.

However, it is important to note that the $6.50 level is held so firmly, which does suggest that there are people out there willing to hang on to this contract. With this, it is important to keep all of that in the back of your mind. As long as we can stay above the $6.50 level, there is a certain amount of hope that the market will continue to rally. All things being equal, I do not know how much higher we have to go, but right now it looks as if we are going to continue to see a lot of noisy behavior, and therefore you should be very quick to take profits in this type of environment. Buying on the dips continues to be a way that you have to look at this market unless of course, we get that daily close below the $6.50 level.

Whether or not we continue going higher or try to carve out some type of trading range remains to be seen, but it certainly looks as if either one of the two could be possible. The $9.00 level above has been like a massive ceiling in the market and should be looked at through that prism going forward.

Natural Gas Price Forecast Video 12.05.22

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