how to trade natural gas

The EIA weekly Nat Gas storage report tells us how much gas has been stored by US authorities and also compares it to historical levels. The effect of this report is supposed to be felt immediately it is released, so nat gas traders might want to position to take advantage of any volatility that follows its release.

The EIA weekly report needs to be analyzed further to make sense:

✅If the increase in natural gas inventories is more than forecasted, then demand is weak and we could see falling gas prices. The same can be said if a decline in inventories is less than expected.

✅If the increase in natural gas inventories is less than the forecast, then demand is strong and we could see rising gas prices. The same can be said if a decline in inventories is more than expected.

Nat Gas Futures are traded on the NYMEX exchange which opens by 9 30 AM American time of 2:30 PM UTC+1. My strategy is the Pre-Opening hour breakout strategy so I box out the 1-hour range before the NYMEX open (1;20 - 2:30) and then trade the breakout of that range.

I have opened my first trade on NAT GAS and it is on profit now, my SL is just below the Pre-NYMEX upper edge. My exit strategy is to exit when I see the first red/bullish candle which must break the preceding green/bullish candle

I am taking profit/exiting here because of this bearish engulfing pattern that has just formed.

Very useful this thread, on gas trading brother. So, as per the bearish engulfing, you think we could see some downward push?

I wouldn't rule it out, theres some decent open interest around 2800 which is right under the bearish engulfing so I would certainly take a sell fif the downward push continues.

I would like to learn to trade gas too

Yesterday, price didn't fall again, instead it went up and started ranging