Friday, July 19, 2019 at 3:37PM
This week brought quite the sea of "red" to the natural gas world, and we don't mean the kind on weather maps that is bullish. Prices closed lower every single day this week. The week began with cooler weather changes to the balance of July, a risk that we had highlighted in last Friday's Pre-Close Update. This brought "blues" (cooler than normal temperatures) to our 11-15 day forecast back on Monday for the first time in quite awhile. Monday's forecast: While the bulk of these cooler changes came early in the week, by Wednesday, the cooler weather along with our analysis of supply / demand balances led us to mention the risk of a move to the 2.25 level in the August contract, highlighted in Wednesday's Morning Report. Two days later, here we are, right at the 2.25 level, still with significant cooling on the way next week, but coverage of below normal temperatures had lessened in today's 11-15 day forecast, as seen on today's maps. After falling almost 25 cents from the highs of last week, is this enough to end the selling pressure? Our research can help answer these key questions to give a clear assessment of where natural gas prices are likely to go next. Sign up for a 10-day free trial here to see all of the products we have to offer.