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Natural Gas: Bear Trapping Starts Here

BySatendra Singh
Published 06/24/2022, 11:44 AM
Updated 07/09/2023, 06:31 AM

Following the steep fall soon after the weekly inventory release on Thursday, NG futures were on their way back to the $8.5 level amid growing seasonal demand as the reversal started above the psychological support at $6.

Undoubtedly, selling pressure was still intact, but the natural gas bulls looked ready to trap the bears between the ranges of $6 - $7.
Natural Gas Futures 15 Minutes Chart
Technically, initial evidence indicated a sharp reversal before Friday’s closing, which could continue during the upcoming week as the power burns will continue to remain higher through the weekend due to widespread heat across the southern half of the US and light wind energy generation.

No doubt that the natural gas bears will continue to struggle during the upcoming week as the selling sprees could continue to appear with every upward move. But the current pattern looks bullish enough to continue buying on every downward rally ahead.

The changing geo-political events could continue to impact the movement of the NG futures during the next week as the bulls and bears are present in large numbers at the current level.

The commodity could find a breakout move on the first trading session of the upcoming week as the bears may start short-covering on Monday if NG finds a sustainable move above $8.3 soon after the weekly opening.

Disclaimer: The author of this analysis does not have any position in Natural Gas futures. Readers are advised to take any position at their own risk; as Natural Gas is one of the most liquid commodities of the world.

Latest comments

Mr Singh is so seriously surely the run up back to 8.3 this week… JUST WATCH HIS guessing and We Will Discuss his wild guess on next article.
Dude....check last line.....6.3 or 8.3 .....????
Do you even understsnd what he says in his videos?
Especially because of geopolitical events I think Nat gas is an opportunity at this price.
“The commodity could find a breakout move on the first trading session of the upcoming week as the bears may start short-covering on Monday if NG finds a sustainable move above $8.3 soon after the weekly opening.”I hope so you realise it is at 6.2 Dollars right now. !!You mean a 30% increase just like that? Are you serious?!!
34% unmove in a single day @so much higher inflation environment
Lol! He is a serious joker. Donno where they get these guys from.
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