NATGAS price jumped above another major resistance zone at $7 amid lower output and as global demand for US LNG remains elevated due to the energy crisis exacerbated by Russian aggression on Ukraine.
According to EIA report, US gas supplies increased by 15 billion cubic feet for the week ended April 8. Meanwhile analysts expected an average weekly climb of 10 billion, which pegged the average five-year supply build at 33 billion. Total supplies in storage stand at 1.397 trillion cubic feet, down 439 billion cubic feet from a year ago and 303 billion cubic feet below the five-year average, the government said.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appStill operational problems on some pipelines and seasonal maintenance in the New Mexico portion of the Permian Basin and the Northeast Appalachian region affected production output. Additionally weather forecasts indicate that temperature in some parts of the US may decrease this weekend and next week, which may provide additional fuel for the bulls.
NATGAS price jumped to the highest level since November 2008. If current sentiment prevails, next target for buyers is located at $7.60 which coincides with 50.0% Fibonacci retracement of the last downward correction launched in 2008. On the other hand, should sellers regain control, nearest support to watch lies at $6.20. Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
