Natura Gas MCX Buy For Target Price 218——224, Natural gas prices edged lower on Thursday, as the decline in riskier assets weighed on commodities. Inventories grew by less than expected according to the latest report from the Department of energy.
Natural Gas Price Prediction
The weather in the US is expected to be cooler than normal throughout the mid-west generating higher heating demand. There are two disturbances in the Atlantic that are headed toward the Caribbean that have a 20% chance of turning into a tropical cyclone according to NOAA.
Natural gas prices edged lower making a higher low and a lower high which is an inside day and a sign of indecision. Prices were unable to recapture resistance seen near the 20-day moving average at 2.50.
Support is seen near the former breakout level at 2.35 and then the 50-day moving average at 2.17. Medium-term momentum has turned negative as the MACD (moving average convergence divergence) index generated a crossover sell 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 MACD line).