Natural Gas Price Forecast – Natural Gas Markets Explode To The Upside

Natural gas markets have rallied significantly during the trading session on Tuesday, breaking well above the 200 day EMA. Ultimately, the market looks as if it is ready to go towards the $2.75 level, an area that is significant resistance from what we have seen before. If we can break above the $2.75 level, then the market is free to go towards the $3.00 level. That is a large, round, psychologically significant figure, and therefore will attract quite a bit of attention. That being said, I do think that we continue to go even above there as we start to enter the colder temperatures in the United States.

NATGAS Video 30.10.19

In fact, the market is likely to continue to go beyond that, due to the fact that the weather reports weren’t as cold as the reality of temperatures in the United States. Overall, this is a market that will probably continue to rally all the way into the middle of January, which is quite typical on a cyclical standpoint. Ultimately, this is a market that will continue to see a lot of noise, but it will most certainly feature buying on dips. I like the idea of going longer this market for some time now, the fact that we have A couple of times recently also adds more fuel to the fire. The $3.00 level will cause a bit of a pullback, but that pullback should be temporary before we continue to go much higher. Selling isn’t an option this time year.

Please let us know what you think in the comments below