Natural Gas Weekly Price Forecast – Natural Gas Markets Break Down for the Week
Natural Gas Price Forecast Video for 05.12.22
Natural Gas Weekly Technical Analysis
Natural gas markets have fallen rather hard during the week, falling into the 50-Week EMA. By doing so, it looks like we are ready to continue going lower, perhaps dropping to the $6.00 level if we get just the slightest push. On the other hand, the market could turn around and try to take out the $7.00 level, which is a large, round, psychologically significant figure, therefore it does make a lot of sense that it would make a bit of a target and attract a certain amount of attention. If we break above there, then the $8.00 level would be tested as it is significant resistance.
Ultimately, this is a market that the volatility will continue to go higher, with the demand picture being uncertain. Yes, there is a significant amount of volatility and uncertainty ahead, right along with the question as to whether or not we are going to have demand dropped due to the fact that the economy is slowing down, and of course that’s going to drop pricing if it continues.
On the other hand, if we start to see more demand coming out of Europe, and perhaps a way for the market to fulfill that need, then we could see prices rise again. That’s been the problem with this market, it has been thrown around on various headlines since the war in Ukraine, and I just don’t see how that changes. Because of this, you need to be very cautious with your size of trade, especially if you are trading a longer-term chart because the swings have been so violent.
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