Natural Gas Weekly Price Forecast – Natural gas markets continue to show weaknessNatural gas markets tried to rally during the trading this week but rolled over to show signs of exhaustion. By forming the shooting star yet again, this is a market that looks very soft.
Natural gas markets tried to rally during the week but struggled to keep the gains. In fact, we did of forming a very ugly looking candle stick suggests we may end up making a serious run at the $2.50 level. That’s an area that is massive support underneath, and if we were to break down change a lot about the outlook. The market breaking the top of the candle stick of course would be the exact opposite situation and we could return to the consolidation pattern that we have been in for some time. That is a very realistic possibility, but I am the first person to say that this chart looks very ominous.
NATGAS Video 15.04.19
I don’t know if we can break down below the $2.50 level though, because although if we reached it, you would think that there would be a lot of support in that area based upon historical charts. If we do break down below that level, it could open the door to the $2.25 level which is even more extreme to the downside. To the upside, the $2.90 level is about as high as I would expect this market to be able to reach towards.
In general, I much more confident about shorting this market that I am buying it but we are at such extreme lows right now that it’s difficult to do it currently. This is especially true if were talking about longer-term trading such as the weekly timeframe or above. This is more of a short-term trading environment right now.
Please let us know what you think in the comments below