Natural Gas Prices Trapped in Range Amid Abundant Supplies
Natural gas prices remain stuck in a range between $2.80 and $3 as shoulder-season demand and abundant U.S. supplies keep the market in check.
The price of natural gas futures eased to $2.849 on Friday, below its 50-day exponential moving average (EMA), according to TradingView data.
Chris, a proprietary trader with over 20 years of experience, notes that demand drops during the shoulder season, which is the period between high-demand summer months and low-demand winter months.
U.S. supplies are still 5% above their five-year moving average, indicating ample natural gas inventory, according to Chris.
The market will likely remain rangebound until a confidence-boosting momentum-driven move occurs, potentially triggered by European demand for American natural gas.