Natural gas absolutely sliced through the $3 support level this past week, and has left no doubt as to the intention of the markets going forward. The market is far too weak to consider buying at this point, and the $2.50 level looks like it will be reached very quickly. The market could bounce as it has been sold off so rapidly, but those will be selling opportunities. The $2 mark is probably going to be targeted in the long run, and we feel that this contract could produce gains for sellers going forward as well. We like selling anything that even remotely looks like a rally at this point.
Natural Gas Forecast for the Week of January 16, 2012, Technical Analysis
Originally posted here
