Natural Gas Price Outlook – Natural Gas Continues to React to War

Natural Gas Technical Analysis

Natural gas markets have exploded to the upside yet again, during the trading session on Wednesday, as we continue to see a lot of fears out there, based on the war in Iran. The Iranian gas fields, of course, are a suggestion of potential weakness in the overall supply globally. So, we find ourselves pressuring the $4 level.

A short-term pullback could open up a move down to the $3.85 level, where we might see support, but if we break down below there, we start shorting. I don’t like the idea of buying natural gas, quite frankly, even though it does look very bullish. The problem, of course, is that if we get peace breaking out, the demand, or lack of, is going to be a major issue.