Another trading day, another red candle for natural gas prices. That seems like the recent trend as the market continues to seek balance. Prices sold off over another 2.5% Friday, continuing below any short-term support level. 

Traders are now eyeing just two final support levels before things get very ugly: $2.579, which is the low settle of the year (and which we seemed to bounce off of at $2.581 Friday), and $2.522, which is the absolute low of the year. 

This comes on another day where the entire natural gas strip sold off in tandem, with losses only slightly larger at the front. 

H/J declined just slightly on the day yet prompt month prices declined over 7 cents, an indication that this yet again was about far more than weather or any short-term factor, but rather an imbalance driven by elevated production levels. 

This can be seen by the declines in natural gas calendar strips across the board over the last few weeks. 

This had us warning clients mid-week that weather would likely not be in charge for a bit, with our Note of the Day on Wednesday featuring the below title.