Naturalgas settled up 0.49% at 248.40 hovered in positive territory on Tuesday after updated weather forecasting models continued to call for chilly weather across much of the U. S. over the next two weeks, which ended a bout of profit taking in earlier trading. Colder temperatures hike the need for heating this time of year, thus increasing demand for natural gas at the nation's thermal power generators. Updated weather forecasting models called for cold temperatures to stick around over a large portion of the U. S. during the next two weeks. Natgasweather. com reported earlier that cold temperatures over much of the U. S. should stick around through Dec 16, with winter storms tacking across portions of the central and northern reaches of the country due to a dipping jet stream. Weather reports sent natural gas prices into positive territory after profit taking lowered the commodity in earlier trading. Meanwhile, U. S. supply levels remained in focus. The Energy Information Administration said last week that natural gas in storage fell by 13bcf compared to expectations for a withdrawal of 10bcf. Inventories fell by 2bcf in the same week a year earlier, while the five-year average change for the week is a decline of 15bcf. Total U. S. natural gas storage stood at 3.776 trillion cubic feet as last week, 2.6% below last year's unusually high level but 0.5% above the five-year average for this time of year. Early withdrawal estimates for this week's storage data range from 109bcf to 148bcf, compared to a drop of 62bcf during the same week a year earlier. Technically market is getting support at 246.6 and below same could see a test of 244.8 level, And resistance is now likely to be seen at 250.9, a move above could see prices testing 253.4.

Trading Ideas:

Naturalgas trading range for the day is 244.8-253.4.

Natural gas gained after updated weather forecasting models continued to call for chilly weather across much of the U. S. over the next two weeks.

Inventories fell by 2 billion cubic feet in the same week a year earlier, while the five-year average change for the week is a decline of 15 billion cubic feet

Weather reports sent natural gas prices into positive territory after profit taking lowered the commodity in earlier trading.