The summer 15 natural gas strip (May 15-October 15 contracts) last week triggered a bearish triangle pattern with a drop under lower trend line support near the 2.820 level.
The downside measuring objective for the triangle pattern is equal to the price difference between points 1 and 2 which is approximately .400.
Therefore, from the 2.820 breakout level, the downside measuring objective is for the summer 15 strip to trade down to the 2.400-2.420 level for completion of the triangle.
A close back above lower triangle trend line resistance between 2.820-2.850 would likely indicate the triangle pattern has failed turning the market trend back up.
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