I’ve been mentioning the seasonal low that Natural Gas tends to make in February. Here is the graph. If it were to follow this map it would make a low soon, rally into June and then decline to a lower low.
Commercial hedgers are net long, which is a sentiment positive.
The public hates itself some Gas, which is an even better sentiment positive.
Bottom Line
Gas has tanked toward support. Current price is 2.39 and the very long-term (back the 1990s) support we noted in 2020 is at 1.60. There could be a continued decline in this falling knife, but the risk/reward in Gas is turning positive from several different vantage points. It bears watching for those interested.
