On analysis of the movement of Natural Gas futures price on December 11th, 2017 at 08:40:00 in the same chart pattern, in different time frames, which I noted in my last analysis, I conclude some advance signals before advent of a strong up move ahead during the upcoming weeks. As I defined the possibilities of a technical bounce from the current level in my last analysis and now the gap up opening on the first trading session of the Week of December 10th, 2017 has confirmed the predicted technical bounce. I find the Natural Gas futures price seems ready to follow the same reversal path which I have already defined in my last analysis.
I find the following supportive facts in favor of Natural Gas bulls to move ahead with more renewed strength. The exhausted bears have started to retreat well on the defined path from the first trading session of the Week of December 10th, 2017:-
- Weather seems to ready to take turn towards more cooling conditions which will raise the heating demand during the days ahead.
- Impending inventory of Natural Gas is expected to turn into more withdrawal this Week instead of an injection. Injection chapter seems to be closed down from the Week of December 21st, 2017.
- China’s inclination for encouraging the use of Natural Gas not only for domestic use but also for the industrial heating purpose will boost the demand side.
- Lower production as Rover was conducting maintenance at a compressor station.
- Export figures from Gulf of Mexico may increase during the Week.
On analysis the movement of Natural Gas futures price in smallest time of frames to daily time frames, I find, every current move is evident enough for emergence of strong up moves ahead. No doubt, that the quantum of volatility may grow many folds but Mother Nature seems to favor the bulls this time. My advice is only to take your decisions at your own.
Good Luck!
Disclosure: This content is for information and educational purposes only and should not be considered as an investment advice or an investment recommendation. Past performance is not an indication of future results. All trading carries risk. Only risk capital be involved which you are prepared to lose.