Natural Gas Price Forecast – Natural gas markets fall on Thursday
Natural gas markets fell a bit during the trading session on Thursday as we continue to see a lot of negativity in this market. True, storage tanks are a bit low currently, but the reality is that we are heading into drilling season, and it’s going to take very little to turn things right back around and oversupply the market again. With that being the case it’s very likely that we are going to see a lot of bouncing around and volatility, but I think rallies continue to be selling opportunities.
NATGAS Video 03.05.19
The red 50 day EMA above at the $2.71 level should also offer technical resistance, so I am more than willing to sell in that area as well. I do not like buying this market, even though we are at the very lows of the longer-term range, but the reality is that the season just isn’t right for buyers to prevail.
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Or we break down below the $2.50 level, it’s very likely that we will continue to go much lower, perhaps the $2.25 level and maybe even below that. This has been an extraordinarily negative market for some time, and I do not think that the market is going to change anytime soon. Somewhere around November, buyers will come back into start picking this market up as they seasonally do, but until then I think rallies are to be looked at with extreme skepticism.
Please let us know what you think in the comments below