Since submission of my last analysis, natural gas futures look too steady to break the immediate resistance at $3 before the inventory on Thursday amid cooling demand during coming summer season.
Natural gas looks ready for a technical bounce from the current level because natural gas bulls look eager to break the first resistance at $3.033 before the inventory announcement, which is expected to be in favor of bulls. But the final outcome of the Fed’s decision today will enhance the volatility till the announcement of impending inventory on Thursday. Natural gas bulls look too strong to enforce bears. Bears’ inclination to cover their shorts due to growing demand will result in short-covering rallies above the level of $3.167.
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