Natural Gas Price Forecast – Natural Gas Markets Look SluggishNatural gas markets have done very little during the trading session on Thursday as we continue to hang around the $2.80 level.
Natural gas markets have gone back and forth during the course of the trading session on Thursday as we continue to see the $2.80 level cause a little bit of action. Ultimately, this market is also sitting right around the 50 day EMA as well, so that of course is something that we need to pay close attention to. If that is going to be the case, then it makes quite a bit of sense that the markets will be jittery in the short term. Longer-term though, if you follow me here at FX Empire, you already know what my thought process is.
NATGAS Video 05.03.21
I do believe that it is only a matter of time before breakdown and I like looking at short-term rallies that show signs of exhaustion in order to get short of this market. After all, temperatures are starting to warm up quite a bit and therefore it should drive down demand significantly. Because of this, I like the idea of pushing towards the $2.40 level, an area that has previously been supported before. The 200 day EMA sits at the $2.57 level, but I think it will be sliced through as it had been previously. I have no interest whatsoever in trying to buy this market, at least not this time of year. I do believe that we have seen the highs, and quite frankly the only reason we had this shot higher recently was the storm in the central part of the United States shutting down production. It also drove demand higher for the short term, but longer-term we will continue to see oversupply cause major issues in this market.
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