NATGAS:What is the Shoulder season? Trading the Transition

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The shoulder season includes the periods of Spring (March to May) and Autumn (September to November) where demand is lower.

Important Trader Concepts:

Bearish Trend: Low demand in case of moderate weather usually makes the prices fall.

Storage Builds: The market tends to build supplies. High stockpiles may create capitulation stages in the price.

Technical Stability: The prices tend to trade in narrow descending channels while waiting for the next weather event.

Knowing the shoulder season is crucial for timing momentum plays and the last flush before Summer prices.

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