Natural Gas Prices Break Key Resistance Level

Natural gas prices have broken through a key resistance level of $2.85-2.90, marking a significant shift in momentum for the market.

The breakout above this zone comes after a prolonged period of consolidation, and is seen as a sign that buyers have regained control.

Storage trends are also providing support for buyers, with the latest EIA report showing an inventory build of just 16 Bcf for the week ended August 14, bringing total storage to 3.169 Tcf.

The export factor is becoming increasingly important, with LNG feedgas recovering after maintenance and high prices in Europe and Asia improving the economics of U.S. exports.