Natural Gas Technical Analysis: Price Closes Lower Friday

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Last week’s trading on natural gas prices ended lower on Friday, as the spot natural gas prices decreased in their recent trading at the intraday levels. The price closed on daily losses even by 4.18%, as it decreased by 263 points, after it also rose on Thursday by 14%, and Wednesday, slightly, by 0.24%.

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However, the spot natural gas markets (CFDS ON NATURAL GAS) opened their last trading on intraday levels on Monday, July 11th, with an increase due to a price gap and the presence of demand for gas during the weekend period.

Natural gas futures rebounded early Monday, as production fell and demand due to near-term weather remained high. However, the spot month fell by midday as traders digested expectations for a strong storage injection, and struggled to regain momentum.

Gas futures for August in Nymex eventually fell 1.3 cents on the day and settled at $5,510. The September contract fell by about half a cent to $5.482 / million British thermal units.

The results of a Bloomberg survey also showed that the average injection is estimated at 75 billion cubic feet. The forecast extended from 70 billion cubic feet at the minimum to 85 billion cubic feet at the maximum.

Through technical analysis, the price is expected to settle below the resistance level 5.665, amid the dominance of a bearish corrective wave in the short term, with the continuation of negative pressure for its trades.

Natural Gas

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