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CFDs on Natural Gas

NATGASUSD
$
NATGASUSD

Price

NATGASUSD
NATGASUSD
CFDs on Natural Gas
24h Change 24h Change
24h High 24h High
24h Low 24h Low

Overview

NATGASUSD represents the Contract for Difference (CFD) tracking the price of natural gas quoted against the U.S. dollar. This instrument allows traders to speculate on natural gas prices without owning the physical commodity or trading futures. It is particularly popular among retail traders for its accessibility, volatility, and correlation with broader energy markets.

Trading NATGASUSD provides an efficient way to capture opportunities driven by seasonal demand (especially during winter and summer), geopolitical developments, and U.S. inventory reports. As an energy-based CFD, it’s also commonly used to diversify portfolios beyond traditional asset classes like stocks or currencies.

Price Chart

Candlestick
Area

Technical Details

Instrument Type CFD (Contract for Difference)
Underlying Asset U.S. Natural Gas Spot/Futures Price
Trading Hours 24/5 (Monday to Friday, varies by broker)
Leverage Up to 1:500 (retail leverage varies by region)
Contract Size Typically 1,000 MMBtu per lot (varies by broker)
Minimum Tick Size $0.001
Platform Availability MT4, MT5, cTrader
Settlement Type Cash-settled

Why Trade CFDs on Natural Gas?

Accessibility

Tradeable via standard retail platforms

Volatility

Frequent price movements ideal for active trading

Leverage

Amplified exposure with small margin requirements

Hedging Tool

Effective for energy-related risk management

Speculative Opportunities

Strong reactions to fundamental news

Pros & Cons

Advantages

  • Direct exposure to natural gas price movements in USD
  • Highly liquid CFD with extended trading hours
  • Attractive for short-term traders due to volatility
  • No physical delivery, ideal for speculative positions

Disadvantages

  • Strongly influenced by unpredictable weather events
  • Prone to sharp price swings and gaps during off-hours
  • Sensitive to U.S. economic and energy policy changes
  • Requires active risk management due to leverage

Frequently Asked Questions

What does NATGASUSD track? +
NATGASUSD tracks the price of natural gas denominated in U.S. dollars, typically reflecting the spot or front-month futures price.
Is NATGASUSD suitable for beginner traders? +
While accessible, its volatility requires a solid risk management strategy. It’s better suited for traders with some experience in CFD or commodity markets.
What drives NATGASUSD price movements? +
Key drivers include U.S. natural gas inventories (EIA reports), weather forecasts, seasonal demand, and geopolitical developments.
Can I hold NATGASUSD trades long term? +
Yes, but be aware of swap/rollover fees, especially for leveraged positions, which can accumulate over time.
Is NATGASUSD correlated with oil or other energy assets? +
Yes, it can show correlation with crude oil, but it's more directly influenced by weather-related demand and natural gas-specific fundamentals.

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