Taking A Swing At Natty Gas | What The FICC w/ Ian Culley

Key Takeaways

• Buy natural gas futures above the $2.34 support level (2021 lows) with an upside target of $5.25, contingent on price staying above this key support
• Natural gas just registered its largest negative 4-week rate of change in contract history (since the 1990s), suggesting potential mean reversion bounce is overdue
• Monitor broader commodity strength as confirmation—OJ, sugar, and cattle are all rallying, indicating positive energy sector momentum that could support natty gas recovery
• Use disciplined risk management by closely monitoring the $2.34 support level as your hard stop; exit if price breaks below this critical shelf