Technical Analysis Natural Gas for April 26, 2016

Natural gas prices moved lower after opening at a fresh 2-month high, as warmer than normal weather continued to be forecasted for most of east coast of the United States over the next 8-14 days.  Support on natural gas is seen near the 20-day moving average at 1.998, while resistance is seen near Monday’s highs at 2.176.

Momentum on natural gas prices remains positive as the MACD (moving average convergence divergence) index prints in the black with an upward sloping trajectory which points to higher prices.  The downward movement in the RSI combined with lower price action, reflects accelerating negative momentum, which also points to lower prices.