Infinity Insights - Volume 13, Issue 16

AT-A-GLANCE SUMMARY

Lack of demand is key reason for weakness going into May’s expiration.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (June) support at 2.00 with resistance at 3.25. Calendar year 2024 finds support at 3.40 with resistance at 4.00. Calendar year 2025 has support at 3.85 with resistance at 4.35.

Roadmap

NYMEX natural gas spot month (June) settled higher by $0.177 at $2.41

Compared to close last Friday

Cal 2024
Calendar 2024 finished up by ≈$0.10 at $3.82

Compared to close last Friday

Cal 2025
Calendar 2025 ended higher by ≈$0.025 at $4.145

Compared to close last Friday

The “Widow Maker”

2024

Volatility…

OUR TAKE ON THE MARKETS

NYMEX Natural Gas

Lack of demand is key reason for weakness going into May’s expiration. That said, prices still respect $2 support, something that suggests more sideways action. Reasonable value offered and we recommend capturing if your procurement is open.

Looking ahead, ERCOT prognosticators suggest a hot summer will challenge risk management. Learning lessons from the past, we urge avoidance of floating prices as once weather sets in, it is too late.

WHOLESALE POWER

ERCOT

Natural gas is the leader.

PJM

Natural gas is the leader.