Natural Gas Price Forecast – Natural Gas Markets Fail To Hang Onto Gains

Natural gas markets gapped higher to kick off the trading session on Monday, shot towards the $2.30 level and then gave back all of those gains to form a rather ugly looking candle stick. That being said though, they did wipe out a lot of stop loss orders just above the couple of inverted hammers from late last week. Even though this is a very bearish candle stick on the chart, the reality is a lot of damage has been done to those sellers and therefore it’s likely that we will eventually start to see the market break to the upside. As things stand right now, the gap down to the $2.30 level should be thought of as potential support, and that could continue to push this market higher.

NATGAS Video 15.10.19

Slightly colder temperatures have hit the northern part of the United States, although not necessarily freezing. Nonetheless, this is the first sign that winter is coming and will of course push this market to the upside given enough time. Ultimately, this is a market that is very seasonally driven and that’s essentially what I’m counting on. The catch of course is to wait for the bullish pressure that the winter almost always brings. If we can get that, then this market can really start to take off. On a break above the candle stick for the trading session on Monday, that would not only be bullish as a positive candle stick, but it would show the stops being run from several of the previous trading sessions.

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