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Natural Gas Price Forecast – Natural Gas Markets Continue to Flirt With $3

By:
Christopher Lewis
Published: Sep 22, 2023, 13:49 GMT+00:00

Natural gas markets have initially tried to rally during the week, as the $3 level is an area that a lot of people have to pay close attention to.

Natural gas pipes, FX Empire

In this article:

Natural Gas Price Forecast Video for 25.09.23

Natural Gas Weekly Technical Analysis

The natural gas markets have tried to break above the $3.00 level again during the week, but gave back some of the gains to form a less than impressive candlestick. That being said, it’s obvious that we continue to find buyers on dips, and of course this is a cyclical trade. With that being the case, we have to look at this through the prism of buying dips on value, because the market will of course demand more natural gas soon, as we are heading toward the busy season.

Furthermore, we also have the European Union struggling to fulfill demand for natural gas this winter, therefore I think you’ve got a situation where this thing will take off sooner or later. I have been investing through ETF markets, but you can also do it through the CFD market. I would not be keen to buy futures contracts, mainly because of the massive amount of leverage that comes with them, and of course the expiration.

That being said, I think of this more as an investment than anything else and I fully anticipate at least doubling my money sometime this winter. This is a portion of my investment portfolio, and something that I don’t necessarily worry about on a day-to-day basis. With this, I do think that eventually the cyclicality of this market comes to into play, and therefore we need to be prepared for that move. In the meantime, I’m just sitting around and waiting for momentum to pick up my position. I have been adding slowly on dips, going back about 6 weeks.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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