Updates on Warmer Weather Snap Natural Gas’ Rally
Natural gas prices plummeted on Monday, weighed down by concerns that warmer weather indicated by latest forecasts may curb demand for the commodity.
Natural gas for January delivery hit an intra-day low at $3.471 a million British thermal units on the New York Mercantile Exchange, down nearly 7% compared with the last close. Prices had surged consistently in the last four weeks to reach the highest levels in two years thanks to weather forecasts that showed below-average temperatures this winter after an unusually warm autumn.
However, according to updates released over the weekend, temperatures are anticipated to not be as cold as previously expected, with warmer-than-typical temperatures across the eastern U.S.
Sell Stop at 3.550, Take profit at 3.470, Stop loss at 3.590