NATGAS surges 6.0% on cold weather forecasts

NATGAS prices rose sharply on Tuesday following a set of new weather forecasts which indicate that a big part of the US will face much colder than anticipated temperatures during the Christmas season which could be meaningful for retailers. Frigid temperatures and heavy precipitation on the West Coast have fueled natural gas demand at a time when storage inventories are below average.

Majority of the US territory may face greater than usual temperature drops. Source: Bamwx.com

NATGAS rose sharply on Tuesday however buyers are still struggling with resistance at $7.10 which is marked with 61.8% Fibonacci retracement of the upward wave launched in July 2022. As long as price sits below this level, another downward impulse may be launched towards support at $6.30.Source: xStation5

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