07 Jan, 2021 11:45 am

Natural Gas: Winter’s Here, And Many Funds Aren’t Long Yet

Natural Gas: Winter’s Here, And Many Funds Aren’t Long Yet
Commodities Analysis by (Barani Krishnan/ covering: Natural Gas Futures. Read (Barani Krishnan/'s latest article on

Scott Shelton, energy futures broker at ICAP in Durham, North Carolina, underscores this debate in a note issued Wednesday as natural gas futures on New York Mercantile Exchange’s Henry Hub opened lower before closing virtually flat at $2.” Net longs on Henry Hub gas held by money managers collapsed by 55%, or 9,684 lots, during the week ended’s Daily Technical Outlook shows a ”Strong Buy” for Henry Hub’s front-month February contract.That leaves traders and investment funds in a quandary over how long they should go—or rather WHEN to go long—on natural gas, the key heating fuel for the region.

However, the necessary factor to extend the natural gas price range beyond the $2.Fewer funds seemed to be keen on being long gas after weather forecasters sharply pared their expectations for cold weather in the eastern US in the first half of January, said Dan Myers, analyst at Houston-based gas risk consultancy Gelber & Associates.

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