Infinity Insights – Volume 8, Issue 24

AT-A-GLANCE SUMMARY

NYMEX spot natural gas (August) sold off during the abbreviated July 4th week.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (August) has support at 2.85ish then 2.75 with resistance at 3.00. Calendar year 2019 has support at 2.77, then 2.72 with resistance at 2.83. 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 (August) fell $0.066, closing at $2.858.

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 finished lower at $2.782, down ≈$0.0225.

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 was off ≈$0.0075 at $2.675.

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

NYMEX spot natural gas (August) sold off during the abbreviated July 4th week. Prices found support at low 2.80s in quiet trade. The $3 barrier remains substantive resistance while the deferred calendar strips see substantive support at $2.75s then in the mid $2.65s.Turning to ERCOT power prices, heat rates have been defensive in the front of the curve, likely influenced by the wet pattern recently experienced, dropping cooling demand. Price levels seem static, suggesting that the next influence (likely weather) will guide market direction.