Natural gas futures added to recent gains in early trading Tuesday as the market continued to gauge the impact of cuts to Canadian supply amid wildfires in Alberta.
Coming off a 10.1-cent rally in the previous session, the June Nymex contract was up 3.6 cents to $2.274/MMBtu at around 8:50 a.m. ET.
Monday’s rally saw the June contract approach the 20-day moving average at $2.25, with supply disruptions from wildfires in Canada contributing to the move higher, EBW Analytics Group analyst Eli Rubin said.
“The 20-day moving average remains a key near-term technical inflection point; if Nymex gas can break out higher, it could open the door to prices in the $2.30s/MMBtu,” Rubin said.
Analysts at ICAP Technical Analysis said that even after Monday’s rally it will take...