Natural gas had a volatile week. Friday closed at previous week’s levels and buying volumes haven’t picked up and winter withdrawals weren’t that large.
We are still selling rallies, therefore, we are looking for opportunity in the 2.80 or 2.90 level. At this point we do not want to buy this market, not unless we see a break well above the 3.00 dollar level. We will pay a closer look at resistance then.
Natural gas is already 4% higher than a month ago and remains 11% lower than last year’s season levels. These numbers make this market look better for short term trading. Some oscillators like the Stochastic, the RSI and the 4 hour-MACD will be very useful to us.