Natural Gas Fundamental Analysis March 27, 2012, Forecast

By FXEmpire.com

Analysis and Recommendations:

Natural Gas is trading at 2.321 after climbing on speculation today to hit 2.419. In early morning hours, the NG price soared within the space of a few minutes to reach the high and then began to collapse returning to fall well below the opening of 2.382. The season for NG has ended now that winter if officially behind us and the demand for gas is dwindling. The only hope to push prices up with be an exceptionally warm spring and early summer. The demand for NG is consistent except for the use during winter for heating and summer for cooling which can put a strain on demands if the extreme temperatures or prolonged above or below average temperatures are forecast.

At this point, we have been forecasting NG to sit at the 2.32 – 2.36 level since the first of March. We expect it to remain in this range for the spring.

Economic Events: (GMT)

WEEKLY

• Heating Oil & Propane Update (October-March)
  Heating Oil, Propane Residential and Wholesale Price Data
  Release Schedule: Wednesday at 1:00 p.m. EST
• Weekly Coal Production
  Release Schedule: Thursday by 5:00 p.m. EST
• Weekly NYMEX Coal Futures
  Release Schedule: Monday by 5:00 p.m. EST
• Natural Gas Weekly Update
  Release Schedule: Thursday between 2:00 and 2:30 p.m. (Eastern Time)
• Weekly Natural Gas Storage Report
  Release Schedule: Thursday at 10:30 (Eastern Time) (schedule)

Originally posted here