Natural Gas Weekly Price Forecast – Natural Gas Markets Continue Bullish Attitude
Natural gas markets have gone back and forth during the course of the week, as we are digesting the massive gains from previous trading. That being said, the market is likely to continue to see a lot of noisy behavior, and quite frankly we may have a bit of a stroke on our hands over the next couple of months, bouncing around between $6.50 above in the $5.00 level underneath. With this, I think is probably only a matter of time before we see some type of longer-term decision. As long as we are in this area, it is difficult to be a longer-term investor, but I think eventually we see the market come back to reality, sending this commodity lower. That is not going to happen anytime soon though, due to the fact that we have colder temperatures ahead in the United States.
NATGAS Video 08.11.21
Ultimately, I do think that you probably have to trade this market off of the daily chart, but eventually we break down below the $5.00 level on a weekly close, and then I think you could get short from a longer-term standpoint. Once we get closer to the warmer temperatures, we will start to see a significant amount of downward pressure, as supply comes back online and of course the demand starts to taper off. Ultimately, I think a longer-term investor is probably going to be looking for a selling opportunity, but they will not have one at the moment. As things stand right now, it is very likely that we continue to bang around in this triangle going forward.