Natural Gas Price Forecast – natural gas markets fall to end the week

Natural gas markets have fallen significantly during the trading session on Friday, as we continue to see a lot of exhaustion at a market that quite frankly took off to the upside in a straight line. This is a market that I think will ultimately find buyers underneath, but we may have several days of weakness ahead of us. I believe that the $3.10 level should offer a bit of support, just as the   $3.00 level will be given enough time. I believe that the market should continue to offer plenty of opportunities as we are reaching towards the coldest and seasonably strongest time of the year for natural gas overall, so I think that it is only a matter time before we continue to see buyers come in to pick up value. However, we had gotten far ahead of ourselves so it makes sense that we need lower pricing. Quite frankly, natural gas has become “expensive.”

I believe at this point in time, if we can clear the $3.20 level, we may try to get to the $3.25 level beyond there, but I think we also have a certain amount of profit taking going into the weekend, so it’s difficult to tell how much of this was organic or not. Beyond that, there were concerns that perhaps there would be a disruption to production due to the hurricane, but that of course has been overstated as far as price is concerned. In general, I believe that pullbacks will offer buying opportunities.

NATGAS Video 15.10.18