Technical Natural Gas Report for December 5, 2016

Natural gas prices moved lower on Friday after hitting a fresh high for the move near 3.58.  Colder than normal weather continues to be forecast to cover most of the United States for the next 8-14 days according to the National Oceanic Atmospheric Administration.  Prices closed near the low of the session with support seen near the 10-day moving average at 3.26.

Resistance is seen near the October highs at 3.65.  The RSI (relative strength index) ran into resistance near the 70 level which is an overbought reading. The RSI will need to eclipse this level to reflect accelerin positive momentum. Momentum as reflected by the MACD (moving average convergence divergence) index is positive as the index prints in the black with an upward sloping trajectory which points to higher prices.

Natural Gas Fundamental Forecast

Natural Gas Technical Analysis