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Natural Gas Prices Rise despite Record Inventory Gains (Continued from Prior Part) Price channel
November natural gas futures contracts have been trading within a downward trending price channel since the mid-week of August 2015. Prices have been fluctuating within 2.50 per MMBtu (British thermal units in millions) and 2.80 per MMBtu ranges since September 2015. Weather and inventory data have been driving natural gas prices.
Support and resistance
Bullish traders could see resistance at $3 per MMBtu. Prices tested this mark in April 2015. Warm weather could drive the natural gas demand. In contrast, bearish traders could see support at $2.50 per MMBtu. Prices tested this level on April 2015. Long-term oversupply concerns could drag natural gas prices lower.
Bank of America Merrill Lynch (BAML) estimates that gas prices could average around $2.85 per MMBtu in 2015. Citigroup estimates that natural gas prices could average around $2.70 per MMBtu in 2015 and $3 per MMBtu in 2016. The natural gas price chart suggests that prices could fluctuate between $2.50 and $3 per MMBtu in the short term.
Oil and gas ETFs like the VelocityShares 3X Long Natural Gas ETN (UGAZ) and the United States Natural Gas Fund LP (UNG) are impacted by natural gas prices’ volatility.
The volatility also impacts energy producers like Cabot Oil & Gas (COG), Chesapeake Energy (CHK), and Range Resources (RRC). Combined, they account for 2.83% of the SPDR Oil and Gas ETF (XOP). These stocks’ natural gas production mix is more than 49% of their production portfolio.
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Cabot Oil & Gas Corporation
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CODE : COG |
ISIN : US1270971039 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Cabot Oil & Gas is a oil exploration company based in United states of america. Cabot Oil & Gas is listed in Germany and in United States of America. Its market capitalisation is US$ 10.2 billions as of today (€ 9.0 billions). Its stock quote reached its lowest recent point on March 26, 2004 at US$ 10.00, and its highest recent level on January 14, 2022 at US$ 22.20. Cabot Oil & Gas has 460 786 236 shares outstanding. |