Natural Gas Price Forecast – Natural Gas Markets Have Noisy Session
Natural gas markets have gapped a bit higher during the course of the trading session on Friday as we continue to see natural gas attract a lot of attention, but quite frankly this is a market that has been desperately needing the pullback that we have just seen. If we can break above the top of the candlestick for the session on Friday, then it is likely that we go looking towards even higher pricing further. We have gapped above the $5.00 level to show signs of life again.
NATGAS Video 27.09.21
To the downside, the area has obvious support near the $4.75 level, which is an area that has been massive support multiple times. That being said, if we were to break down below there it is likely that we could unwind to go looking towards the 50 day EMA. We have recently bounced from the 50% Fibonacci retracement level, which of course attracts a lot of attention in and of itself. Keep in mind that the market is likely to continue to see this as a market that will continue to play based upon the lack of supply coming out of the southeastern part of the United States and of course the massive amount of demand coming out of the EU.
All things been equal, this is a market that I think may retest the highs as we go into colder weather down the road. Furthermore, a lot of people are starting to wonder whether or not this is simply going to continue to reinflate right along with the other commodity markets.
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