Natural Gas Price Forecast – Natural Gas Markets Sit at the 50-Day EMA

Natural Gas Price Forecast Video for 04.10.23

Natural Gas Technical Analysis

Natural gas markets are sitting at the 50-Day EMA it again, as we try to sort out whether or not we can pick up enough momentum to finally break out to the upside. That will happen given enough time, just due to the cyclicality of this market, but you need to be able to wait to get paid. Trust me, the analysis is the same as it has been for some time now, just that we are killing time and waiting for an opportunity to finally break out. After all, the natural gas markets see a lot of demand in the wintertime in the northern hemisphere, and we are approaching that time of the year. Furthermore, we have the situation in the European Union and the lack of natural gas, all of this will come to a head later.

Once we break above the $3.00 level, then we start looking at the 200-Day EMA. After that, the next major resistance barrier probably takes form at the $4.00 level, and then again at the $5.00 level, which is where I think we end up at by the end of the year. That being said, you have to be cautious and you have to make sure that you are not overexposed to the natural gas markets in this environment, as we try to sort things out and determine the supply/demand flow. If we were to break down below the 50-Day EMA, I will only be buying more, but I do it in an unlevered position so that I can get paid once this cyclical trade finally kicks off.

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