Natural Gas dropped 43.4 cents to $4.92, reaching its lowest point in 7 months and a half.
In contrast, positive data for US Natural Gas reported earlier when data for United States Initial Jobless Claims published yesterday at 12:30 UTC came out at 214,000, beating projections of 230,000 and showing improvement over the preceding figure of 226,000.
Amid the market gloom, United States Existing Home Sales (Sep) came out at 4.71 million, while a consensus of analysts was expecting 4.7 million. United States Philadelphia Fed Manufacturing Index (Oct) released yesterday at 12:30 UTC with a figure of -8.7, while the previous figure was -9.9.
With regards to technical trend indicators, chart analysis show that the Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. According to momentum evaluation, the Relative Strength Index indicates Natural Gas is in an oversold condition, which could precipitate a reversal and set up a new bullish phase. Analysis based on the asset volatility indicates that Bollinger Bands® shows an indication of recovery: the lower band is at $5.25, a low enough level to, generally, suggest that NYMEX Gas is trading below its fair value. Support/Resistance levels obtained from chart analysis indicate that NYMEX Natural Gas fell below the $5.22 support zone and moved 29 cents beyond it; the next level of support with significant buyer interest is estimated at $5.08.
All in all, the technical analysis suggests NYMEX Gas has no clear-cut direction.
Taking a look at other Energy commodities, negative performances are evident as Heating Oil is down 6.45 cents from the beginning of the session and now trades around $3.69.
Though Natural Gas has been dropping, other Energy have been performing better: Brent Crude Oil is up 0.96% to $93.27.
The commodity has been trending lower for about a month. NYMEX Gas is now trading 44.65% below the significant high of $9.68 it set around a month ago.