Natural Gas Price Forecast, January 17

Natural gas markets were trying to rally during most of its trading session on Thursday, but it continues to struggle above the $3.50 level. It will be only a matter of time to see the market participants roll over again due to the $3.75 level has been so massive in its resistance.

Breaking down below the 20 days EMA will give places to look and fill a gap underneath. Natural gas markets are currently being oversupplied, but will probably be drive upon demand as the cold snap occurred in the northeastern part of the United States.

Bullish signs will be seen once we break the $3.75 level, setting up another fight at the $4.00 level, an interesting area to start trading. Being willing to short in that area, due to the current market is on a “sell only” set up.

Support has been found at the $3.00 level, which is underneath and giving  a massive floor right now, which now will take a lot of effort on momentum to break down through that level, and if this happens, it will open the door to the $2.75 level and possibly, even the $2.50 level if it gives enough time.

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