Natural Gas Price Forecast – Natural Gas Markets Continue to Look for Direction

Natural Gas Price Forecast Video for 10.03.23

Natural Gas Technical Analysis

Natural gas markets have done very little during the trading session on Thursday as we continue to look for some type of directionality. The market had been so bearish for so long that quite frankly I think a lot of people are nervous about buying. Whether or not we had hit the bottom remains to be seen, but the reality is that it’s more likely than not to continue to have a lot of headwinds facing it. After all, we have the 50-Day EMA near the $3.20 level, and then of course we have the $3.00 level as well.

Underneath, we had hit the area just above the $2.00 level, which of course is an area that attracts a lot of attention. Ultimately, given enough time I think that could end up being the floor, but you also have to keep in mind that the market is so bearish and of course has plenty of supply at the moment. Beyond that, you also have to pay attention to the idea that the temperatures are warming up in the United States and Europe, so that of course will give a little bit of a reprieve for pricing. After that, you have to keep in mind that there is the possibility that the industrial demand drops, and if that’s going to be the case, then there is really no reason to think that natural gas takes off to the upside.

However, longer “buy-and-hold” type of investors may be interested in this market, but it is probably smart to avoid levered products if you do want to play it for a long term trade. There are ETF instruments out there that can be used for that.

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