Despite new prompt December’s $.319 premium over expired November at last week’s close there was no expiration gap to begin December’s tenure (as there was on 09/28. Rather than building on that premium as November did, the new prompt immediately began to narrow the difference. December traded lower $.165) but not nearly enough to reach the target zone ($3.16 – $3.25). The price decline then rallied to a higher continuation high confirmed a new short – intermediate trend line.
On a continuation basis prompt gas traded a higher weekly high, began to challenge some old support that was decisively violated during the collapse from the ’22 highs (the December ’21 low and the low of calendar ’22, $3.543 – $3.638, see chart above), and closed at the highest weekly settlement since the first week of ’23. As bullish as that seems, December failed for the third time in four weeks at its 40 – week SMA, ended the week only $.032/dt higher and clearly remains in a range.
