In the last decade, natural gas has only done this twice, and charts suggest it could mean more pain ahead

Natural gas prices are doing some unnatural activity.

After nearly 40% of the stock was collected last month – unusually high for any commodity – the charts are now showing warning signs, Miller Tabak Matt Maley told CNBC’s “Trading Nation” on Thursday.

Natural gas prices have fallen by about 3.5% since the last session.

Although I had a long time, I think it was too much.

As natural gas prices rose on Wednesday, their relative strength index reached 80, indicating “near-term signs” this year as a whole.

“He also has over 80 on his weekly chart, and that is the second highest, the busiest in ten years,” says Maley.

This does not mean that the bull market is over. When I get that overly loaded weekly chart, the drag lasts for more than two days, and [Thursday’s] I don’t think traction will be the end of it. We need to see a drag that lasts more than a few days.

Nancy Tingler, chief investment officer at Lafder Tangler Investments, found another long-term bull nearby but a source of concern.

He also said that the company owns some of its natural gas stocks but is struggling with oil.

“I think we are going to go back, but in the long run, this is a solution to the energy crisis, and I think in the coming years we will see the strength in natural gas from a basic perspective,” he said. .

Disclaimer

.

Leave a Comment