Infinity Insights - Volume 10, Issue 42

AT-A-GLANCE SUMMARY
Spot month NYMEX natural gas (December) Traded down last week, failing resistance at 3.50ish but holding 3.00 support until Thursday when it collapsed.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (December) support is 2.65 then 2.45 with resistance at 2.95 then 3.35. Calendar year 2021 finds support at 2.85 with resistance at 3.15. Calendar year 2022 has support at 2.60 with resistance at 2.90.

Roadmap

NYMEX natural gas spot month (December) finished at $2.888, off $0.466 compared to last Friday’s close

Calendar 2021
Calendar 2021 settled $0.22 lower at $2.93.

Calendar 2022
Calendar 2022 ended at $2.7625, ≤$0.0425 weaker than last Friday

OUR TAKE ON THE MARKET

NYMEX Natural GasSpot month NYMEX natural gas (December) Traded down last week, failing resistance at 3.50ish but holding 3.00 support until Thursday when it collapsed. The more important values for procurement (cal strips 2021 and out) also traded lower. The up-channel failed important support.

The double top in the chart, above, is interesting and time will tell if we’ve seen a top. Studies we follow suggest that the market is oversold, adding to the importance of current levels. Regardless, as our clients are inherently short natural gas and power before they lock, lower prices are better.

WHOLESALE POWER

ERCOT

Power continues to mirror natural gas.
PJM

Power continues to mirror natural gas.

Stay Safe!