Early morning weakness on Tuesday led to late day buying in
the January 16 natural gas contract which fell to a 2.193 low but finished the
day at 2.231, down 4 ticks.
The trend for the market remains down with last Friday’s
2.175 contract low being the first area of support followed by 2.051, a low set
by the December 15 contract. Longer term support is the 1.948 monthly low
set the last week of October.
2.250-2.260 is the first area of resistance today followed
by the 10 day moving average at 2.305. Longer term resistance is at
2.360-2.370 and the 40 day moving average currently at 2.550.
A potentially bullish inside range reversal bar was set on
the monthly chart in November. A higher monthly close in December is now needed
to confirm the reversal.
Technical Indicators: Moving Average Alignment –
Bearish
Long Term Trend Following Index – Bearish
Short
Term Trend Following Index - Bearish
No comments:
Post a Comment