Natural Gas Regains Upside MomentumPosted 05/20/2019 2:25PM CT |
Natural gas has regained upside momentum and is trading at a 5-week high after posting a weekly gain for the third out of the last four. Weather forecasts are for warmer than expected temperatures for the southeast and mid-Atlantic regions through late next week, which should increase usage for air conditioning and power plant demand. Early reports for EIA storage are expecting an injection above 100 bcf. Despite strong production, warmer temperatures should continue to provide underlying support in the near-term. Nat gas remains bearish trend and is nearing overbought levels with the current range seen between 2.51 – 2.71.
Natural Gas Jun ’19 Daily Chart