Advertisement
Advertisement

Natural Gas Price Prediction – Prices Form Doji Day a Sign of Indecision

By:
David Becker
Published: Mar 21, 2022, 18:53 UTC

LNG exports declined week over week

Natural Gas Price Prediction – Prices Form Doji Day a Sign of Indecision

In this article:

Insight

Natural gas prices moved higher on Friday rising 1% and forming a doji day. The weather forecast shows warmer than normal weather across the West Coast and Cooler than normal weather across the East Coast during the next 6-10 days. This situation changes to show milder temperatures over the next 8-14 days. U.S. LNG exports declined week over week but should continue to rise due to high demand in Europe.

U.S. LNG exports decreased by one vessel this week from last week. Twenty-two LNG vessels with a combined LNG-carrying capacity of 82 Bcf departed the United States between March 10 and March 16, according to shipping data provided by the Energy Information Administration.

Technical Analysis

Natural gas prices formed a doji day on Monday which is a sign of indecision. Support is seen near the 10-day moving average at 4.715. Resistance is seen near a downward sloping trend line that comes in near 5.15.

Short-term momentum has turned positive as the fast stochastic generated a crossover buy signal. Medium-term momentum has turned positive. The MACD (moving average convergence divergence) index is making a crossover buy signal. This scenario occurs when the MACD line (the 12-day moving average minus the 26-day moving average, crosses above the 9-day moving average of the MACD line.

About the Author

David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.

Did you find this article useful?

Advertisement