As the world’s premier investment manager and financial market journalist, I have analyzed the current movements in natural gas prices across various time frames. The hourly chart indicates a potential bumpy ride ahead, with tonight’s inventory announcement likely to sway market sentiments.
The expected injection level of 31 Bcf tonight, compared to last week’s 22 Bcf, could surprise with a lower injection of around 12 Bcf. If this prediction holds true, we may see a bullish surge in prices challenging the bears.
Looking at the 1-hour chart, the 9 DMA crossing above the 18 DMA signals a possible price reversal. This could lead natural gas futures to reach $2.245 by August 5, 2024. A long position at the current level with a stop-loss at $2 could be a profitable short-term strategy.
On the daily chart, bulls are struggling to maintain their position, suggesting limited downside potential for natural gas prices. A lower injection announcement tonight could trigger a rally in the first half of the month.
In conclusion, any dip in natural gas futures to $2 could present a buying opportunity for investors looking to go long.
Analysis Breakdown:
– Hourly chart indicates a bumpy ride with potential bullish movement post-inventory announcement.
– Expected injection level of 31 Bcf tonight, lower than last week, could lead to a price surge.
– 1-hour chart shows a possible price reversal with a target of $2.245.
– Daily chart suggests limited downside risk with a chance of a rally in the near term.
– Buying opportunity may arise if natural gas futures dip to $2.
In summary, stay informed about the market movements and consider the potential opportunities presented by tonight’s inventory announcement for your investment decisions.