Natural gas declined as forecasts showed milder weather later this month, reducing demand for the heating fuel. Natural gas may advance as colder weather eliminates a surplus of gas in storage. Colder-than-normal weather is likely in the central and eastern U. S. from Feb. 8 through Feb. 12. A surplus of gas in storage over the five-year average dropped to 0.2 percent in the week ended Jan. 28 from 1.2 percent a week earlier, the Energy Department said.

The gas survey has correctly forecast the direction of prices 48 percent of the time since its June 2004 introduction. Natural Gas yesterday we have seen that market has moved -0.56%. Market has opened at 198 & made a low of
197.1 versus the day high of 198.4. The total volume for the day was at 1374 lots and the open interest was at 19951.

Now support for the Natural Gas is seen at 197 and below could see a test of 196.4. Resistance is now likely to be seen at 198.3, a move above could see prices testing 199. Trading Ideas: Natural Gas trading range is 196.4-199. Natural gas declined as forecasts showed milder weather later this month Natural gas looks to have a support at 194.80 and resistance at 200.20 A surplus of gas in storage over the five-year average dropped to 0.2 percent