Infinity Insights – Volume 8, Issue 20

AT-A-GLANCE SUMMARY

Spot NYMEX natural gas bumped up to resistance at $3 and backed off.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (July) has support at 2.80 then 2.70 with resistance at 3.00. Calendar year 2019 has support at 2.75, then 2.67 with resistance at 2.81. Calendar year 2020 has support at 2.65 with resistance at 2.72.For a look at our monthly market reports, visit Infinity Power Partner’s Market Overview.

Roadmap

NYMEX natural gas spot month (July) sold off $0.072, closing at $2.89.

1

What’s This? – The “Roadmap” is the price action chart depicting the NYMEX natural gas spot month. It’s important because it is essentially the trading community’s market sentiment.

Cal 19

Calendar 2019 dropped ≈$0.035 and closed at $2.775.

2

What’s This? – “Cal 19” is the first complete 12-month strip. It gives you a visual of price action and provides a reference point for our take on the market.

Cal 20

Calendar 2020 settled at $2.675, ≈$0.035 softer.

3

What’s This? – “Cal 20” is the second complete 12-month strip. It gives you a visual of price action and provides a reference point for our take on the market.

OUR TAKE ON THE MARKET

4

Spot NYMEX natural gas bumped up to resistance at $3 and backed off. ERCOT heat rates have backed down from recent record highs. Real Time pricing (LMP) has lagged wholesale power prices but June has witnessed a price spike (June 5th). The “what ifs” of summer are fast approaching.Not long ago, LMP spiked with extraordinary cold and wholesale price was under it. June has a price spike and (so far) LMP is again above wholesale price. Is this a theme through summer? Many pundits are looking for some kind of craziness while others think it’s already priced in hiccups. What do you think?