Infinity Insights - Volume 11, Issue 15

AT-A-GLANCE SUMMARY
Spot month NYMEX natural gas (June) firmed with cold weather’s assistance.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (June) support is 2.50 with resistance at 3.00. Balance of calendar year 2021 finds support at 2.80 with resistance at 3.00. Calendar year 2022 has support at 2.55 with resistance at 2.80.

Roadmap

NYMEX natural gas spot month (June) finished better at $2.73, up $0.05.

Balance of Calendar 2021
Calendar 2022 closed at $2.715, ≈$0.0125 better.

Calendar 2022
Calendar 2022 closed at $2.70, ≈$0.04 better.

OUR TAKE ON THE MARKET

NYMEX Natural Gas

Spot month NYMEX natural gas (June) firmed with cold weather’s assistance. Technically, prices look to challenge $3.00 resistance. Other indicators support a firmer tone but with declining open interest, implying to us that it’s a mixed bag.

WHOLESALE POWER

ERCOT
Prices firmed with natural gas higher as well as heat rates. LMP firmed to the $60 area and then retreated. We continue to monitor real-time prices for indications of a return to “the old days,” i.e., some level that encourages inclusion in structuring procurement. We do not know the answers and continue to advise avoiding this open-ended liability.

PJM

Prices have firmed with natural gas.