Natural Gas Commodity Forecast

Natural Gas commodity price up more than 6.05% on Thursday
(Updated on May 09, 2024)

NGUSD Signals & Forecast

The Natural Gas commodity holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $2.15 and $1.84. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Friday, April 26, 2024, and so far it has risen 43.31%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Natural Gas has increased volume and follows the last lift in the price. This is considered to be a technical positive sign as volume should follow the price-formation. Higher liquidity also reduces the general risk.

Support, Risk & Stop-loss for Natural Gas commodity

On the downside, the commodity finds support just below today's level from accumulated volume at $2.15 and $1.78. There is a natural risk involved when a commodity is testing a support level, since if this is broken, the commodity then may fall to the next support level. In this case, Natural Gas finds support just below today's level at $2.15. If this is broken, then the next support from accumulated volume will be at $1.78 and $1.77.

This commodity may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this commodity is considered to be "high risk". During the last day, the commodity moved $0.160 between high and low, or 7.43%. For the last week, the commodity has had daily average volatility of 4.23%.

Our recommended stop-loss: $2.23 (-3.54%) (This commodity has high daily movements and this gives high risk. There is a buy signal from a pivot bottom found 9 days ago.)

Trading Expectations (NGUSD) For The Upcoming Trading Day Of Friday 10th

For the upcoming trading day on Friday, 10th we expect Natural Gas to open at $2.26, and during the day (based on 14 day Average True Range), to move between $2.21 and $2.41, which gives a possible trading interval of +/-$0.0988 (+/-4.27%) up or down from last closing price. If Natural Gas takes out the full calculated possible swing range there will be an estimated 8.54% move between the lowest and the highest trading price during the day.

With no resistance above and support from accumulated volume @ $2.15, some $0.165 (7.13%) from the current price of $2.31, our system finds the risk reward attractive.

Is Natural Gas commodity A Buy?

Natural Gas holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this commodity since the last evaluation from a Buy to a Hold/Accumulate candidate.

Current score: 0.000 Hold/Accumulate Downgraded

Zero in score indicates that our system is expecting high volatility and risk for the following trading day. Given the latest developments, we cannot determine the next direction as it may go both ways.

Predicted Opening Price for Natural Gas of Friday, May 10, 2024

The predicted opening price is based on yesterday's movements between high, low, and closing price.