Naturalgas settled down -4.22% at 238.60 tumbled to a six-month low on Thursday, after data showed that U. S. natural gas supplies rose more than expected last week. A mild summer in the nation's biggest gas-consuming regions has eased concerns about supplies. Worries flared up last winter, when extremely low temperatures translated into record demand for the heating fuel. This summer, unseasonably cool weather across swaths of the U. S. has damped the use of power-thirsty air conditioners, limiting the use of natural gas in generating electricity.

Prices in the futures market dropped by nearly 3.5% in the minutes after the U. S. EIA said in its weekly report that natural gas storage in the U. S. in the week ended July 11 rose by 107 billion cubic feet, above expectations for an increase of 98 billion cubic feet. The five-year average change for the week is an increase of 65 billion cubic feet. Total U. S. natural gas storage stood at 2.129 trillion cubic feet. Stocks were 608 billion cubic feet less than last year at this time and 727 billion cubic feet below the five-year average of 2.856 trillion cubic feet for this time of year.

Natural gas prices have been under pressure in recent sessions after updated weather-forecasting models called for cooler temperatures across most parts of the heavily-populated Midwest and Northeast regions over the next five days. Demand for natural gas tends to fluctuate in the summer based on hot weather and air conditioning use. Technically market is under fresh selling as market has witnessed gain in open interest by 19.38% to settled at 10550, now Naturalgas is getting support at 235.3 and below same could see a test of 231.9 level, And resistance is now likely to be seen at 245.1, a move above could see prices testing 251.5.

Trading Ideas:

Naturalgas trading range for the day is 231.9-251.5.

Natural gas tumbled after data showed that U. S. natural gas supplies rose more than expected last week.

U. S. EIA said in its weekly report that natural gas storage in the U. S. rose by 107 billion cubic feet.

A mild summer in the nation's biggest gas-consuming regions has eased concerns about supplies.