Natural Gas weekly special report based On 1 Lot Calculation:
FUNDAMENTAL FACTORS:
WEATHER FORECAST - Meteorologists projected the weather would remain warmer than normal through Nov. 21 before turning close to colder than normal from Nov. 22-Dec. 1. With colder weather coming, economists forecast U.S. gas demand in the Lower 48 states, including exports, would rise from 112.2 bcfd this week to 113.8 bcfd next week. (Source: Nasdaq.com)
THE WINTER HEATING SEASON IS STARTING (October - March). Natural gas consumption peaks during the winter, when cold weather increases demand for natural gas heating. On average, during November, in the last 5 years’, natural gas prices were up 4.25%. (Source: Yahoo finance)
A CARGO CARRIER GALAXY LEDER WAS SEIZED BY IRAN -BACKED HOUTHI REBELS IN RED SEA, NEAR THE STRAIT OF HORMUZ (November 18). Even though the Bahamas-flagged Galaxy Leader is owned by a British company, and operated by a Japanese firm, media reports have said that the vessel is partially owned by the Israeli businessman Abraham Ungar, as reported by Al Jazeera. The event rekindled concern over a long-standing threat to energy supply chains.
NATURAL GAS STORAGE IN THE US- EIA reports a 60 Bcf increase in gas storage last week to 3,833 Bcf, above expectations for a 34 Bcf rise.
PRICE ACTION:
-
NATURAL GAS HIT ITS LOWEST PRICE IN 2 YEARS AND 7 MONTHS ($1.943): Natural Gas has undergone a downward correction of around 71.7% since August 23, 2022. Natural gas traded last around $2.92 and if a full recovery followed, that could imply an upside of around 253.22%. However, the price could decline further.
NATURAL GAS, November 22, 2023
Current Price: 2.92
|
NATURAL GAS |
Weekly |
|
Trend direction |
|
|
6.00 |
|
|
4.50 |
|
|
3.50 |
|
|
2.40 |
|
|
2.00 |
|
|
1.50 |
Example of calculation based on weekly trend direction for 1 Lot1
|
Pivot Points |
||||||
|
Profit or loss in $ |
30,800.00 |
15,800.00 |
5,800.00 |
-5,200.00 |
-9,200.00 |
-14,200.00 |
|
Profit or loss in €² |
28,254.03 |
14,493.95 |
5,320.56 |
-4,770.16 |
-8,439.52 |
-13,026.21 |
|
Profit or loss in £² |
24,588.36 |
12,613.51 |
4,630.28 |
-4,151.28 |
-7,344.58 |
-11,336.19 |
|
Profit or loss in C$² |
42,220.49 |
21,658.56 |
7,950.61 |
-7,128.13 |
-12,611.31 |
-19,465.29 |
- 1 lot is equivalent of 10,000 units
- Calculations for exchange rate used as of 11:40 (GMT+1) 22/11/2023
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Senior Account ManagerClient Manager regarding their use.
- You may wish to consider closing your position in profit, even if it is lower than suggested one
- Trailing stop technique can protect the profit – Ask your Senior Account ManagerClient Manager for more details