Natural Gas Price Analysis for July 26, 2017
Natural gas prices moved higher on Tuesday generating an inside day which reflects indecision. The rebound follows Monday drop of more than 2%, after a report was released by the National Oceanic Atmospheric Administration. The report shows that the weather over the next 2-weeks is expected to be cooler than normal which could reduce cooling demand and weigh on natural gas prices.
Momentum is Neutral
Resistance is seen near the 10-day moving average at 2.995, while support on natural gas prices is seen near the weekly lows at 2.88. Momentum is decelerating as the MACD (moving average convergence divergence) index edge lower toward the zero index level, and could potentially generate a crossover sell signal. The MACD histogram is nearly unchanged with a flat trajectory which reflects consolidation. The RSI (relative strength index) is printing a reading of 45, which is in the middle of the neutral range and reflects consolidation.
This article was originally posted on FX Empire
