Natural Gas Monthly Chart Review

Without a doubt, the Natural Charts charts have some of the wildest moves I have ever seen or tried to count out.

Commercials are net short NG, while the speculators see a very bullish picture. That doesn’t mean NG is going to soar in price, but the winter is coming soon and it could be much colder than normal.

The world is freaking out about climate change which has more to do with the sun and its solar cycles then any CO2 built up in our atmosphere. The war on coal or fossil fuels continues as many electricity generating plants are switching over to NG.

Natural gas may have to break to new record lows before we see a substantial rally.

There is no way of seeing supply numbers as they just flare off any extra NG that they don’t need, besides that, they flare for safety reasons.  When the flare rate increases then we know a natural gas glut is already here!

It may take the rest of the year but I’m sure solar cycle 24 is drawing NG prices down.

Hits: 24