Natural gas markets continue to be very noisy, as we rallied initially during the day on Wednesday, but then pulled back from the $2.78 level. I believe that the market should continue to be very noisy, but I also believe that we continue to see a lot of bearish pressure in this market. Ultimately, the market should continue to see a lot of choppiness, so if you are patient enough you should get the opportunities that you need. I believe that the $2.80 level is going to be a major barrier again, and once it occurs, I am more than willing to take advantage of some type of exhaustion at that level. Otherwise, we could break out to the upside and then go to the $3.00 level above, which is even more resistant.
I believe that natural gas will continue to remain suppressed overall, especially during the summer months in the United States, as it will drive down a massive driver of demand. I believe that the market continues to be difficult to buy, and only the altar short-term type of traitor would look to go long. The average natural gas traitor is probably going to keep short-term positions on at best. I don’t have any interest in trying to hang on to this market longer term, and I believe that eventually we will probably have longer-term forces come back into the market to the downside. With the oversupply of natural gas being a systemic problem, rallies will eventually offer opportunity.
NATGAS Video 19.04.18
This article was originally posted on FX Empire
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