Natural Gas markets rally again on Friday
Natural gas markets rallied a bit during the trading session again on Friday, gaining over 0.5% during the day. Ultimately, I think that the market should continue to go higher, perhaps reaching towards the $3.00 level which is a juicy target for traders to reach towards. I think that short-term pullbacks could be buying opportunities, with the $3.90 level underneath offering support based upon the previous uptrend channel that of course is very prominent.
I think that the market should continue to be very choppy, but ultimately I think that the three dollars level is far too attractive to forget. I think that area should offer a bit of resistance, and I think that the market could drop from there. I think that the market breaking above the $3.00 level should send this market much higher, perhaps reaching towards the $3.10 level. That level is even more resistive, so I think that although we are bullish in the short term, I think that it’s only a matter of time before the sellers come back, but in the near term it looks very likely that we will continue to see a lot of buying pressure based upon news that the Chinese are about to start buying more natural gas from the United States, providing a certain amount of support and demand.
I think that if we were to break down below the previous uptrend line that was the top of the channel, we could drift towards the $2.80 level. However, that doesn’t look likely to be the case in the short term, and I would continue to favor the upside.
NATGAS Video 28.05.18
This article was originally posted on FX Empire
More From FXEMPIRE:
Bitcoin markets fall again during the week, slicing through major support
Crude oil markets have a rough week and sell off drastically on Friday
Alt coins fall again for the week as crypto currencies continue to struggle
Increased Tensions at Fed as Central Bank Moves to More Normal Interest Rate Levels
