Naturalgas settled down -2.91% at 300 on weather reports calling for a break in below-normal temperatures that have gripped the U. S. the past week, which should prompt homes and business to scale back on their heating. Mild temperatures this time of year curb demand for natural gas at the country's thermal power plants. The U. S. Energy Information Administration said in its weekly report that natural gas storage in the U. S. in the week ended January 31 fell by 262 billion cubic feet, missing expectations for a decline of 270 billion cubic feet. Gas supplies fell by 129 billion cubic feet during the same week a year earlier. Below-normal temperatures were expected for the next five days in the eastern two thirds of the country, which is forecast to be replaced by milder temperatures in its 11-15 day outlook, according to MDA EarthSat. Storage levels have dropped steeply, sending ripples across the market. Pipelines are filled to capacity, draws on stockpiles have been capped, and electricity generators have asked customers to conserve power. Total U. S. natural gas storage stood at 1.923 trillion cubic feet. Stocks were 778 billion cubic feet less than last year at this time and 556 billion cubic feet below the five-year average of 2.479 trillion cubic feet for this time of year. Stocks in the Producing Region were 187 billion cubic feet below the five-year average of 889 billion cubic feet after a net withdrawal of 93 billion cubic feet. Now Naturalgas is getting support at 293 and below same could see a test of 286.1 level, And resistance is now likely to be seen at 309.4, a move above could see prices testing 318.9.

Trading Ideas:

Naturalgas trading range for the day is 286.1-318.9.

Naturalgas settled down on weather reports calling for a break in below-normal temperatures that have gripped the U. S. the past week

Mild temperatures this time of year curb demand for natural gas at the country's thermal power plants.

Storage levels have dropped steeply, sending ripples across the market.