Technical Forecast for Natural Gas
Natural Gas held strong Fibonacci resistance at 3.439 which was our a selling opportunity. We predicted an end the correction & a turn lower. Exactly as expected we tested support at 3.362 & saw a bounce from here as predicted. However we could continue lower today to good support at 3.330/317. Expect a low for the day so exit shorts & try longs but we need stops below 3.245.
If we hold 3.362/360 again today look for a move towards 3.426/434 & a second selling opportunity. Exit longs & try shorts with stops above 3.465. A break higher should then signal further gains with a gap to fill at 3.548. We should struggle here as we start to look overbought on the daily chart at this stage.
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