It is natural gas that is now in a near free fall as the market continues to be heavily sold.
The January 15 contract closed lower for a fourth consecutive day on Tuesday falling .133 or 3.3% to settle at 3.874. Over the past 4 sessions, the contract has lost .529 or 12%.
Selling has continued overnight dropping the January contract under the 3.800 level for the first time since late-October when the winter rally began.
The current overnight low of 3.779 is the first area of support today followed by the 3.707 October and contract low.
Regardless of whether or not a new price low is set near term, the longer term trend for the market remains sideways to higher. Recent volatility on both the upside and downside is likely a sign of what to expect for this upcoming winter.
Technical Indicators: Moving Average Alignment – Neutral-Bearish
Long Term Trend Following Index – Bullish
Short Term Trend Following Index - Bearish
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