NEW YORK, January 17 (FinanceEnquiry.com) - On Monday, natural gas markets succeeded in narrowing the gap, as many traders did not get involved because of a US holiday, making it hard to present any bullish case for this market at the moment.
Natural gas is used in huge quantities for heating purposes, however warmer-than-usual weather in northeastern part of the US is negatively affecting the demand for the fuel.

In addition, new discoveries of natural gas source in the US have nearly demolished the demand in this market. As per the projections, US has surplus natural gas supply to cover 400 years of power.
As a result, the difference dropped to $2.50 level, but the bearish behavior of this market is baseless at present.

In present conditions, a selling position can be made despite the imminent rebound. Consequently, new finds of natural gas and the fact that America will run short of storage space does not bode well with the market. Thus, according to technical, all rallies are to be sold going forward.