Naturalgas settled down -1.42% at 228.9 as demand for the fuel was likely to remain limited after meteorologists predicted mild summer weather in much of the U.S. Natural gas prices have been under heavy selling pressure in recent sessions after updated weather-forecasting models called for mostly average temperatures across most parts of the heavily-populated Midwest and Northeast regions over the next ten days. Demand for natural gas tends to fluctuate in the summer based on hot weather and air conditioning use. Meanwhile, the U.S. Energy Information Administration said in its weekly report on July 17 that natural gas storage in the U.S. rose by 107 billion cubic feet last week, 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. Injections of gas into storage have surpassed the five-year average for 13 consecutive weeks. Total U.S. natural gas storage stood at 2.129 trillion cubic feet as of last week, narrowing the deficit to the five-year average to 25.5%, down from a record 54.7% at the end of March. "Fresh weather data continues to stream in, and it's still on track with a series of cooler Canadian weather systems impacting much of the central and eastern U.S. during the last week of July. The first system will weaken the ridge later this week and open the door for a more impressive cool blast that develops from the merging of two weather systems," Natgasweather.com reported in its mid-day update. Now Naturalgas is getting support at 227.1 and below same could see a test of 225.4 level, And resistance is now likely to be seen at 231.6, a move above could see prices testing 234.4.

Trading Ideas:

Naturalgas trading range for the day is 225.4-234.4.

Natural gas dropped as demand for the fuel was likely to remain limited after meteorologists predicted mild summer weather in much of the U.S.

Injections of gas into storage have surpassed the five-year average for 13 consecutive weeks.

The five-year average change for the week is an increase of 65 billion cubic feet.