Following the markets that started the new week with positive vaccine news, the upward momentum in the metal markets also gained momentum. With this increase in risk appetite, the fragility in global metal markets triggered the expectation that demand will recover, and natural gas prices recovered. Last week, natural gas stocks increased more than expected, resulting in sudden sales pressure on natural gas prices. Thus, natural gas, which accelerated its downward attacks towards the 1.06 level, entered into a recovery movement with the return from this level. On the other hand, Fed Dallas President Robert Kaplan drew attention to his statement that the oil and natural gas market will be the only industry of vital importance for years.
Russian gas producer Gazprom announced that it has filed an appeal at a Polish court to challenge the heavy fine imposed for its role in the Nord Stream 2 pipeline. This development had previously caused fragility in natural gas prices. As for the natural gas stocks data to be announced today, expected to decrease, and if it happens, we can see that the recovery in commodities gains momentum.
If we look at the technical picture of natural gas prices, it is seen that the commodity has moved above 1.20 with a return from a strong 1.06 level. It can be seen that the vast majority of losses previously lost are compensated, especially if the rises in commodities exceed 1.35 resistance. Thus, the buying movement in the commodity can enter into power gain with 1.50 resistance. However, on the contrary scenario, closings below the 1.20 level that may occur in natural gas prices may accelerate the decreases with 1.06 support. Especially 1.06 level is the bottom point of the commodity.