natural gas

natural gas

Monday, July 13, 2015

Natural Gas Corner - Technical Update - Market Attempting Bullish Breakout In Today's Trade



The August contact is currently higher in Monday’s early trade pushing up against 40 day moving average and trend line resistance between 2.820-2.835. 

A breakout  above this resistance would be a bullish indicator for the market turning the near term trend back up with following resistance at the 2.885 early-June high followed by 2.970-2.980. 

If lower-2.800 resistance holds, the primary trend will remain sideways to lower with the 10 day moving average at 2.770 being the first area of support followed by last week’s 2.644 low. 

Longer term supports levels are the 2.569 and 2.588 weekly lows set during April and June.  A  drop under weekly low support would turn 2.443 into the next downside support.

Friday’s Commitment of Trader’s report showed the funds long 117,552 natural gas futures contracts, up 7,524 from the previous week. 

Technical Indicators:  Moving Average Alignment – Neutral-Bearish
                                         Long Term Trend Following Index – Bearish
                                         Short Term Trend Following Index - Bearish



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