Nymex Natural Gas (NG)
Natural gas’ rebound from 2.409 resumed and reached as high as 3.50 so far. At this point, intraday bias is mildly on the upside as long as 2.912 minor support holds. Further rise should be seen towards 4.162 key near term resistance. On the downside, below 2.912 will indicate that rebound from 2.409 might have completed and will flip intraday bias back to the downside for retesting this low first.
In the bigger picture, as discussed before, medium term fall from 13.69 is treated as part of the long term consolidation pattern that started at 15.78 back in 2005. 100% projection of 15.78 to 4.593 from 13.69 at 2.50 was already met but there is no clear sign of bottoming yet. Fall from 13.69 might still extend further as long as 4.162 resistance holds. Nevertheless, we’d expect strong support from 1.96 (02 low) to finally conclude the whole decline from 13.69. On the upside, break of 4.162 resistance will now be an important signal that natural gas has finally bottomed out.
Nymex Natural Gas Continuous Contract 4 Hours Chart
Nymex Natural Gas Continuous Contract Daily Chart