Yahoo Finance Natural Gas Weekly Price Forecast – Natural Gas Markets Break through a Major Support Level
Natural Gas Weekly Technical Analysis
Natural gas markets have fallen hard during the week to break down below the $6.50 level, an area that has been imported more than once. The fact that we are below there does suggest that the natural gas market is trying to break back down due to the fact that the Fremont terminal has no capacity to send LNG to the European Union. The European Union has changed its attitude on coal, as places like Germany are having to go back to it due to the lack of natural gas coming out of Russia.
If we break down below the bottom of the weekly candlestick, is likely that we go looking to the $6.00 level. If we break it down below there, I think that accelerates the downside. When you look at the weekly candlestick from the previous week, it shows just how quickly things turned around, and it should be noted that massive candlesticks like that almost never happen in a vacuum, and therefore it does make sense that we have some follow-through.
At this point, I don’t necessarily want to be a buyer, because the market has been so overdone as of late. We are now starting to focus on domestic demand, so therefore it makes a lot of sense that the market would not need to be this high. After all, natural gas is not something that’s hard to find in the United States, and the Henry Hub Natural Gas contract is very domestically focused. I do believe that we go much lower, but will reevaluate if we get some type of massive bounce.
Natural Gas Price Forecast Video 27.06.22
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This article was originally posted on FX Empire
