Natural Gas Weekly Price Forecast – Natural gas markets continue to struggle

Natural gas markets initially tried to push higher during the week but as you can see we have certainly struggled at this point and it looks as if the buyers are running for the hills. That being said, there is a major support level underneath that I think is going to be difficult to break through, so I’m not necessarily looking to short this market anytime soon. Quite the contrary, I think that there could be a nice buying opportunity for shorter-term traders near the $2.60 level, perhaps extending down to the $2.50 level.

NATGAS Video 08.04.19

We have been in a nice range for some time, and this is a range that the market tends to hang about in any way. The three dollars level above is massive resistance with the $2.50 level is massive support. We are approaching the very lower part of the overall range, so at this point I think that you are going to see value hunters come back into the market, or at least people covering their short positions.

If we do get a supportive bounce or hammer on the daily chart, I more than willing to start buying natural gas and aiming towards the $2.90 level. While I’m not necessarily bullish natural gas, I recognize that this area has been rather important more than once. I do not expect to break out to the upside and would also be quite surprised if we break down below the $2.50 level as well. I think more of the same is ahead of us.

Please let us know what you think in the comments below