Natural Gas Price Analysis for October 17, 2017
Natural gas prices whipsawed on Monday first moving lower and testing support and then rebounding higher but still closing down 1.50% on the session. After weeks of warmer than normal weather forecast by the National Oceanic Atmospheric Administration, the forecast is now for normal weather for most of the country, which allowed prices to gain a foot hold.
Natural Gas Momentum is Positive
Support on natural gas is seen near an upward sloping trend line that comes in near 2.90, as well as the 10-day moving average at 2.92. Resistance is seen near the October highs at 3.036. Momentum remains positive as the MACD (moving average convergence divergence) index recent generated a crossover buy signal. This occurs as the MACD line (the 12-day moving average minus the 26-day moving average) crosses above the MACD signal line (the 9-day moving average of the spread.
This article was originally posted on FX Empire
