Natural Gas Corner - Technical Update - Weekly Low Support Being Tested In Today's Early Trade

Natural gas prices trended sideways during last week’s trade as the spot October 15 contract held in another narrow .084 weekly range.

The October contract topped out at a 2.725 weekly high and bottomed out at a 2.641 low holding above key weekly low support between 2.638-2.640 set earlier this year.  For the week,  the contract ended Friday’s session at 2.715, up .018 for the 5 days of trade.

The primary trend remains sideways to down with a breakout  under weekly low support needed to drop the market back toward new lows for 2015.

A drop under 2.638-2.640 support would turn 2.440-2.450 and 2.230-2.250 into the next longer term support levels for the October contract.

The 10 day moving average which held as resistance during all of last week’s trade is the first area of resistance today at 2.705 with  longer term resistance at the 2.800 and 2.940-2.980.

Technical Indicators:  Moving Average Alignment – Bearish

                                           Long Term Trend Following Index – Bearish

                                           Short Term Trend Following Index - Bearish