Natural Gas Price Forecast – Natural Gas Markets Finally Break Out

Natural gas markets have exploded to the upside during the trading session on Thursday, as we have seen the market leave the 50-day EMA behind. This is an indicator that has been pushing against any type of strength, and now it looks as if the natural gas markets are ready to start rising due to the winter demand that will almost certainly pick up in the United States. This is obviously a very good sign, and ultimately this could be the beginning of a much larger move.

NATGAS Video 25.10.19

This doesn’t necessarily mean that we are going to take off straightaway, clearly this is a “shot across the bow” of the sellers. With that being the case, then the market is very likely to continue to look at short-term pullbacks as buying opportunities as we will go looking towards the 200-day EMA above. The 200-day EMA of course attracts a lot of attention from the longer-term standpoint as quite often it will determine the overall trend for trend traders. That being the case, I do like the idea of going long at this point and simply holding until the month of January. I think I could also be convinced to start adding to a position on short-term dips, as it will more than likely offer plenty of value from time to time. As demand picks up, natural gas markets will start to shoot much higher as they do on a yearly basis this time of year.

Please let us know what you think in the comments below