Natural Gas Price Forecast – natural gas markets run into resistance again

Natural gas markets initially tried to rally during the trading session on Wednesday, but we continue to see a lot of trouble at the $5.00 level, and I also believe that we’ve gotten far too ahead of ourselves. The natural gas markets are typically cyclical at this point of the year, as there are a lot of reasons to think that demand will be relatively strong in the wintertime in places like Boston, New York, and Washington DC. However, we have gotten far too ahead of ourselves and I think at this point it’s only a matter of time before inventory gets built back up.

NATGAS Video 22.11.18

The United States has over 300 years’ worth of natural gas in the ground that they know of. That’s not 300 years heating energy in America, but 300 years’ worth of total energy for the entire planet. Because of this, it’s very difficult to imagine that the longer-term bullish run is about to start. Because of this, I think it’s only a matter time before we correct and go much lower. I think that selling is the only prudent thing you can do, selling signs of exhaustion. If we break above the $5.00 level, that would be extraordinarily bullish, but at this point it’s hard to believe that there are a lot of people out there more than willing to jump in at these high levels. There are plenty of people out there in the natural gas world willing to sell at these high prices.