Natural gas yesterday traded with the positive node and settled 0.26% up at 226.6 boosted by a warmer-than-normal weather outlook that was expected to increase demand for the fuel. Updated weather forecasting models pointed to a wider swath of above-normal temperatures in the central U. S. in the next two weeks, boosting near-term cooling demand expectations.  Demand for natural gas tends to rise in the summer months as warmer temperatures increase the need for gas-fired electricity to power air conditioning. U. S. supply levels also remained in focus. The U. S. Energy Information Administration said last week that natural gas storage in the U. S. rose by 99 billion cubic feet, above expectations for an increase of 95 billion cubic feet. Total U. S. natural gas storage stood at 1.865 trillion cubic feet as of last week, 5% below the five-year average for this time of year. Early injection estimates for this week's storage data range from 87 billion cubic feet to 100 billion cubic feet, compared to a 75 billion cubic feet increase during the same week a year earlier. Prices rallied seen supportive after the U. S. Energy Department approved natural gas exports from Freeport LNG's Texas terminal. Baker Hughes drilling rig data showed the gas-directed rig count rose by four from the prior week's 18-year low of 350. In yesterday's trading session natural gas has touched the low of 225.7 after opening at 226.5, and finally settled at 226.6. For today's session market is looking to take support at 225.1, a break below could see a test of 223.6 and where as resistance is now likely to be seen at 228.7, a move above could see prices testing 230.8.

Trading Ideas:

Nat. Gas trading range for the day is 223.6-230.8.

Natural gas gained boosted by a warmer-than-normal weather outlook that was expected to increase demand for the fuel.

Updated weather forecasting models pointed to a wider swath of above-normal temperatures in the central U. S. in the next two weeks boosted demand.

Prices rallied seen supportive after the U. S. Energy Department approved natural gas exports from Freeport LNG's Texas terminal.