Natural Gas Price Forecast – Natural Gas Tests Support Level

Natural Gas Technical Analysis

Natural gas markets have fallen a bit during the trading session to kick things off on Wednesday, testing the $6.50 level. However, we have bounced a little bit from there, so it’ll be interesting to see whether or not that actually turns out to be supported. If we were to break down below the $6.50 level, it would be an extraordinarily negative turn of events and could open up fresh selling in the natural gas markets. After all, it’s an area that has been important multiple times, so therefore it’s difficult to get overly excited about the market if we do break through it.

In that event, I think that the $6.00 level could be a target, which is near the 200 Day EMA. Ultimately, after that I think we get more of a bear market. After all, the natural gas markets have been out of control for quite some time, and therefore, I think you need to keep it in mind that we could be seeing some type of capitulation.

Any rally at this point in time will offer significant resistance at the 50 day EMA, which is at the $7.60 level. After that, the $8.00 level will be a major resistance barrier to deal with. Regardless, this is a market that continues to see selling pressure due to the Freeport terminal not being able to pump LNG for the European Union. Europeans are finally capitulating on going back to coal, as they will continue to fight the idea of buying Russian gas. In other words, demand is dropping quite rapidly from a global perspective and the market is starting to focus on the US again, which is typical.

Natural Gas Price Forecast Video for 23.06.22

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