Infinity Insights - Volume 11, Issue 39

AT-A-GLANCE SUMMARY

NYMEX natural gas front of the curve continued to trade defensively (November between 4.80 and 5.20) until Friday when prices rallied.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (November) support is 5.20 then 4.80 with resistance at 6.00. Calendar year 2022 finds support at 4.30 with resistance at 4.75. Calendar year 2023 has support at 3.40 with resistance at 3.75.

Roadmap
NYMEX natural gas spot month (November) finished $0.13 down at $5.28 compared to last Friday’s Close.

Calendar 2022
Calendar 2022 finished ≈$0.115 off at $4.36.

Cal 2023
Calendar 2023 closed ≈$0.0475 lower at $3.5675.

OUR TAKE ON THE MARKET

THE "WIDOW MAKER"

Volatility…

NYMEX Natural Gas

NYMEX natural gas front of the curve continued to trade defensively (November between 4.80 and 5.20) until Friday when prices rallied. Lack of weather appears to be the primary reason for consolidation with forecasts now hinting at the chance for winter weather. The back of the curve remains at or near highs, maintaining bull market strength. The two sides of the same coin have seemingly traded in conflict, something that will likely continue until winter actually sets in.

WHOLESALE POWER

ERCOT

Heat rates are reverse mirroring the action of natural gas as might be expected. The front marks are volatile with the back numbers static.

PJM

A broken record…prices follow natural gas.