Natural Gas Price Forecast – Natural Gas markets finally break $3.00

Natural gas markets broke out during the day on Friday, breaking above the vital $3.00 level. By breaking above there, it does open the door to higher pricing, and with the warmer temperatures in the United States, it’s likely that we will continue to see this bullish pressure. Beyond that, there was a pipeline in Kansas that caught on fire, and that could bring down the amount of natural gas on hand as well.

It looks as if the $2.96 level is going to offer support for short-term trading, so I think that pullbacks at that area will probably have participants jumping in to purchase. However, if we were to turn around to break down below the $2.96 level, we could make a run towards the $2.90 level after that. That’s an area that of course would cause a significant amount of support, but a break down below there will continue to go even lower. I believe that the $3.10 level above is massive resistance based upon longer-term charts, so that may very well be the target. That area will be even more resistive above, so I think that although short term it looks as if the buyers are running the show, longer-term forces could come back into play, and offer a shorting opportunity at higher levels. In the short term though, it looks as if the buyers are going to continue to be aggressive.

NATGAS Video 18.06.18