Natural Gas Price Prediction – Prices Edge Higher but are Down for the Week

Key Insights

• Natural gas prices rebounded.
• The weather is expected to be cooler in most of the Mid-West. 
• U.S. Natural gas Rig Count was unchanged.

On Friday, natural gas prices rebounded but remained rangebound. According to the National Oceanic Atmospheric Administration, it the cooler than normal throughout most of the mid-West for the next 6-10 days and 8-14 days.

According to the weekly Baker Hughes rig count, the number of new rigs through the United States remains completely unchanged. oil rigs unchanged were at 574, while natural gas rigs were unchanged at 151.

Technical Analysis

On Friday, natural gas prices edged higher but were unable to move through resistance at the 10-day moving average of 8.6. Support is seen near the 50-day moving average of 8.29.

Short-term momentum remains positive as the fast stochastic generated a crossover buy signal.

Medium-term momentum turned negative as the MACD had a crossover sell signal. The MACD (moving average convergence divergence) histogram prints in negative territory with a falling trajectory, meaning downside trade action.