natural gas

natural gas

Thursday, October 15, 2015

Natural Gas Corner - Technical Update - Bulls In Control, For Now




A one day set back by the November 15 natural gas contract found good buying interest on Wednesday near the 10 day moving average.

Early selling in the session dropped the November contract to a 2.472 daily low before reversing back higher into the close finishing the day at 2.518, up .020.

Successive daily settles above the 10 day moving average keeps the near term trend bullish with a new weekly high at 2.565 set in the overnight session.  This high is the first area of resistance followed by 2.590-2.600.  Longer term resistance is the 40 day moving average currently at 2.660.

The 10 day moving average at 2.495 today is the first area of  support followed by yesterday’s 2.472 low.  A close back under the 10 day average will turn the near term trend back down with following support at the 2.403 contract low. 

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

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