28 Nov 2014
Natural Gas trades below 200-DMA
FXStreet (Mumbai) - Natural gas prices in the US trade below the 200-DMA located at USD 4.2704 levels as forecasts of a mild weather in the first week of December is likely to reduce the heating demand for the fuel.
The January futures are down 3.57% to trade at USD 4.202/mmBtu, compared to the previous session’s close of USD 4.24. Moreover, the prices faced rejection at the 200-DMA level today, post which the prices declined to USD 4.20 levels.
The prices are being driven lower despite the Energy Information Agency (EIA) weekly report showed storage declined by 162 billion cubic feet last week, compared to the expectations of a 150 billion decline.
Natural Gas Technical Levels
The futures have an immediate support at 4.183 (Oct. 1 low), under which prices can fall to 4.098 (Nov. 25 low). Meanwhile, resistance is seen at 4.2704 (200-DMA) and 4.35 (June. 26 low).
The January futures are down 3.57% to trade at USD 4.202/mmBtu, compared to the previous session’s close of USD 4.24. Moreover, the prices faced rejection at the 200-DMA level today, post which the prices declined to USD 4.20 levels.
The prices are being driven lower despite the Energy Information Agency (EIA) weekly report showed storage declined by 162 billion cubic feet last week, compared to the expectations of a 150 billion decline.
Natural Gas Technical Levels
The futures have an immediate support at 4.183 (Oct. 1 low), under which prices can fall to 4.098 (Nov. 25 low). Meanwhile, resistance is seen at 4.2704 (200-DMA) and 4.35 (June. 26 low).