Category: Daily Call

Not much to say about yesterday — but boring. We may be headed into some additional days of boredom as the fundamental issues are waning as folks are well aware of ending storage — etc.. From a trade perspective near term support has been defined (last two day lows) so now where does it go?

Support: $2.65, $2.554, $2.446, $2.373–$2.356,$2.255-$2.176
Minor Support: $2.60, $2.162
Major Resistance:$2.887, $2.94, $2.98-$3.05, $3.082, $3.316-$$3.396, $3.486
Minor Resistance:$2.724-$2.755, $2.85

Prices extended the recent declines down to some of the support zones from the previous month. If you believe the range trade environment then this is a low risk buying area with stops just below in the $2.50’s — your risk level. Most folks know that the fundamentals are well defined for the next month and expectations of storage levels are being developed as you read. Not sure it would be wise to short this market as the opportunity for gains is somewhat limited unless you believe major support is the target.

Support: $2.693-$2.65, $2.554, $2.446, $2.373–$2.356,$2.255-$2.176
Minor Support: $2.60, $2.162
Major Resistance:$2.887, $2.94, $2.98-$3.05, $3.082, $3.316-$$3.396, $3.486
Minor Resistance:$2.724, $2.85

Was hoping that the lower end of the developing trading range for March would be defined more dramatically than what transpired. Clearly, prices will be supported as the decline under $2.70 — but there is not a significant support areas from the $2.68 of yesterday all the way down to $2.54. Therefore the range is $2.68-$2.89 for now. What happened last month was a rare occurrence and looking for a repeat is not wise.

Support: $2.74, $2.65, $2.54, $2.373–$2.356,$2.255-$2.176
Minor Support: $2.71, $2.60-$2.554,$2.483, $2.162
Major Resistance: $2.94, $2.98-$3.05, $3.082, $3.316-$$3.396, $3.486
Minor Resistance:$2.85

Well that was a brief extension upwards, but the declines on Sunday/Monday down to $2.70 need to be re-confirmed. Thought yesterday may bring that but so much for my thoughts. This area needs to be traded cautiously as no defined floor has been established but many areas of resistance ($2.92-$3.00) are evident. Sometimes it is prudent to sit back and wait for the market to paint the picture.

Support:$2.764, $2.74, $2.65, $2.373–$2.356,$2.255-$2.176
Minor Support: $2.71, $2.60-$2.554,$2.483, $2.162
Major Resistance: $2.94, $2.98-$3.05, $3.082, $3.316-$$3.396, $3.486
Minor Resistance:$2.85

The first two (almost three) weeks of February gave us consistent ranges to trade gas and provided some decent revenue. Will wait patiently to see if March provides the same opportunity. Will need to see where the support is (here or below down to $2.65) to bring out some low risk buying. Already know the high end of near term range is $2.85-$2.94 up to $3.00. Now we need to find where the low end resides.

Support:$2.764, $2.74, $2.65, $2.373–$2.356,$2.255-$2.176
Minor Support: $2.71, $2.60-$2.554,$2.483, $2.162
Major Resistance: $2.94, $2.98-$3.05, $3.082, $3.316-$$3.396, $3.486
Minor Resistance:$2.85

Prices continued to decline on Friday making lower prices in four of the last five days. Testing the support zones during the day, prices bounced and rallied during the day trade. Would correlate that action to testing the support and garnishing the support to rally from. Play the ranges until the market tells us different.

April as prompt traded in an $.08 range yesterday– the struggle between the bullish storage report and the recent down trend turned out to be a quiet event. Doubt there will be anything dramatic going into the weekend but with natural gas — you never know. Long term analysis will be updated over the weekend but nothing has changed from the action of calendar February.

Support:$2.764, $2.74, $2.373–$2.356,$2.255-$2.176
Minor Support: $2.71, $2.60-$2.554,$2.483, $2.162
Major Resistance: $2.98-$3.05, $3.082, $3.316-$$3.396, $3.486
Minor Resistance:$3.172