The NYMEX August natural gas futures contract posted a preliminary settlement Wednesday of $3.629/MMBtu, down 4.8 cents, as the market lacked drivers to push it higher, sources said.
The market is going through some choppy trade "in what historically should be a bullish period," ICAP Energy Vice President Drew Wozniak said.
Gelber & Associates analyst Aaron Calder said the market will be trading sideways "until Thursday's storage announcement provides an impetus to break out of the range."
According to a Platts consensus of expectations, the Energy Information Administration on Thursday will estimate a natural gas storage injection between 66 Bcf and 70 Bcf for the reporting week that ended Friday.
A storage build within those expectations would be much higher than the 29-Bcf injection seen during the comparable week last year, but roughly the same as the five-year average injection of 70 Bcf, according to EIA data.
Sources pegged support at $3.60/MMBtu and resistance at $3.685/MMBtu. The August contract has traded Wednesday between $3.607/MMBtu and $3.683/MMBtu.
The NYMEX settlement is considered preliminary and subject to change until a final settlement price is posted at 7 p.m. EDT.
