By FXEmpire.com
The natural gas markets had another strong day on Wednesday, continuing to gain and close above the $2.50 level. The move has been impressive, but the fundamentals aren’t changing. The supply far outweighs the demand, and this market seems to be going through a serious correction. The trend has been decidedly bearish, and as a result we don’t like buying it.
The market has been sold far too hard in a short amount of time, and this kind of bounce should have been expected. Quite frankly, it should have happened a long time ago. The $2.80 and more importantly $3 levels above look resistive, and we will wait to see if failure of the rally happens at those intervals. We still don’t feel comfortable buying this market until we get above the $3 on a daily close.
Click here a current Natural Gas Chart.
Originally posted here
