The trend for the June 16 natural gas contract may be ready
to turn back lower following another failed breakout above 2.180-2.200 weekly
high resistance on Thursday.
The June contract did push up to a new weekly high at 2.185
in yesterday’s trade but couldn’t breakout above 2.200 resistance pulling back
into the close to settle at 2.155, down .018.
Selling has come in during today’s early trade dropping the
June contract under 10 and 40 day moving average support at the 2.095-2.100
level. This turns the 2.026 low set two weeks ago into the next longer
term support. If lower-2.000 support is broken, the trend will turn back
down.
2.180-2.200 remains key resistance in today’s session with a
breakout above this level needed to extend the current uptrend.
Bottom line – Bulls on the defensive today with 2.180-2.200
weekly high resistance holding again on Thursday.
Technical Indicators: Moving Average Alignment –
Neutral
Long Term Trend Following Index – Bullish
Short Term Trend Following Index - Bearish
No comments:
Post a Comment