Natural Gas Price Forecast – Natural Gas Markets Sluggish on Tuesday

Natural Gas Price Forecast Video for 19.04.23

Natural Gas Technical Analysis

Natural gas markets have been somewhat quiet during the trading session on Tuesday as the natural gas markets are trying to find some type of short-term bottom, and it’s also likely that the market is trying to figure out what the range is going to be for warmer months. It’s also worth noting that we recently had seen a swing high at the $3.00 level above, so therefore I think you get a situation where that would be the ceiling of the market in the near term.

Underneath, the $2.00 level has offered support, so I think we are trying to figure out what the overall range is going to be between now and when natural gas picks up more demand, typically toward the fall. We also have to keep in mind that longer term, we need to deal with the European Union and whether or not they will have to replace their stocks of natural gas. More likely than not, they will have to, so there should be a bit of a bounce later this year.

In the meantime, I would anticipate that we just go back and forth between the $2.00 level on the bottom, and the 50-Day EMA. Above there, then the $3.00 level should continue to offer plenty of resistance. I think it is easier to fade the markets going forward on signs of exhaustion, and I do believe that will end up being the easiest trade to take. At this point, I think you are probably looking at range bound trading over the next couple of months, so if that is your preferred way of trading the markets, the natural gas market might be the one for you.

However, keep in mind that natural gas markets do tend to get very noisy at times, so that doesn’t necessarily mean that you are trying to build up a massive position, but rather would probably trade around this range with smaller positions and simply use it as a way to present some cash flow into your portfolio. That being said, it looks as if the geopolitical situation and global economic situation remains somewhat negative.

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