Natural Gas Price Forecast – Natural Gas Markets Continue to Plunge

Natural Gas Price Forecast Video for 07.12.22

Natural Gas Technical Analysis

Natural gas markets have fallen rather hard during the trading session on Tuesday, as it looks like we are threatening to break down below the support level that extends all the way down to the $5.00 level. We recently gapped down to kick off the week, and now it looks like we have a little bit of follow-through. Rallies at this point in time will have to deal with that gap, so I don’t necessarily think that a rally is something that I would be a buyer of. In fact, if we get some type of bounce into that gap and see some exhaustion, that might end up being a nice selling opportunity.

The 50-Day EMA is currently starting to slump a bit, and it looks like it’s trying to break down below the 200-Day EMA. That being said, both indicators are relatively flat, but the 50-Day EMA is starting to react. Whether or not we actually break through the bottom is a completely different question, but it certainly looks as if we are going to try to. Perhaps it is driven down to the idea falling demand, as we have seen global economy starts to slow down. Remember, natural gas is going to be highly sensitive to whether or not we are growing or not, as is used in a lot of industry as well.

The market could be noisy over the next couple of sessions, but I still think at this point in time you need to pay special attention to the fact that the most recent rally only made it to about halfway through the consolidation range that I have marked on the chart. Perhaps it’s a bit of foreshadowing.

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