Start Trading Now Get Started
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Natural Gas Technical Analysis: Price Amid Negative Expectations

By Akram Adel
Akram has experience working in the Forex industry since 2008. He works as a trainer and lecturer for technical analysis, trading strategies, and foundations of risk and capital management. In addition, he has experience with topics in the financial markets on many well-known sites that specialize in this field. Akram currently writes for a number of sites by providing accurate and professional articles and daily reports.

We expect more declines for natural gas during its upcoming trading, especially as long as it stabilizes below 2.748, targeting the psychological support level of 2.00.

  • Spot natural gas prices (CFDS ON NATURAL GAS) fell during their early trading on Thursday.
  • It recorded slight daily losses until the moment of writing this report, by -0.08%.
  • It settled at a price of $2.466 per million British thermal units, after falling during yesterday’s trading by 0. -3.89%.

Natural gas futures tumbled on Wednesday, losing for the second consecutive session, as analysts expected another weak reading in US government inventories. Traders began to look beyond the late winter cold snap and towards likely mild spring weather.

Nymex gas futures for April settled at $2.439 per million British thermal units, down 13.4 cents on the day, while the May contract fell 14.4 cents to $2.546.

Market focus will now turn to the US Energy Information Administration's (EIA) Weekly Inventories report due later in the day, which will cover the week ending March 10, as analysts expect another negative reading for the most recent period.

In its latest inventory assessment, the EIA reported a draw of 84 bcf for the week ending March 3, well below the five-year average decline of 101 bcf. Inventories totaled 2,030 bcf, up 359 bcf from the five-year average, While analysts expect inventories to range from 49 to 76 billion cubic feet.

Natural Gas Technical Analysis

Technically, the main bearish trend in the medium and short term, along a slope line, dominates the movement of natural gas. This is shown in the attached chart for a period (daily), with the continuation of the negative pressure for its continuous trading below the simple moving average for the previous 50-day period.

In addition to that, we notice the presence of signals of the negativity of the relative strength indicators, after earlier reaching highly overbought areas.

Therefore, we expect more declines for natural gas during its upcoming trading, especially as long as it stabilizes below 2.748, targeting the psychological support level of 2.00.

Natural Gas

Ready to trade Natural Gas Forex? We’ve made a list of the best commodity trading brokers worth trading with.

Akram Adel
Akram has experience working in the Forex industry since 2008. He works as a trainer and lecturer for technical analysis, trading strategies, and foundations of risk and capital management. In addition, he has experience with topics in the financial markets on many well-known sites that specialize in this field. Akram currently writes for a number of sites by providing accurate and professional articles and daily reports.

Most Visited Forex Broker Reviews