Natural gas yesterday traded with the negative node and settled -1.26% down at 174.3 snapped two days of gains slumping to a daily low as investors cashed out of the market to take advantage of a rally that took prices to a four-day high. Earlier Tuesday, natural gas prices rallied to 179.70, the highest price since February 16 amid indications of increased demand after forecasts for colder than average temperatures in the U.S. next week. However, the rally prompted some investors to sell their position on profit taking and lock in gains on speculation that the peak period of winter's gas-heating season was coming to an end. Natural gas prices have closely tracked weather forecasts in recent weeks, rising when forecasts called for cold, but with gains limited by the willingness of some market participants to cash out to profit from rallies amid stubbornly high inventories. For today's session market is looking to take support at 171.7, a break below could see a test of 169.1 and where as resistance is now likely to be seen at 178.3, a move above could see prices testing 182.3.

Trading Ideas:

Natural Gas trading range is 169.1-182.3.

Natural gas ended weak as investors cashed out of the market

Natural gas looks to have a support at 171.80 and resistance at 177.60

Natural gas prices have closely tracked weather forecasts in recent weeks, rising when forecasts called for cold