Natural Gas Forecast for the week of August 27, 2012, Technical Analysis

posted
By FX Empire Analyst - Christopher Lewis
Print
Font Size
T
T
T
Get Forex buy/sell signals directly to your email and by SMS.
To learn more click here

The natural gas markets attempted to rally this previous week again, but failed as they have over the last month or so. The markets are currently sitting on the $2.70 level, which sets up quite nicely as a technical signal. Once we get below the $2.70 level, we think that this contract will continue much lower at this point in time. In fact, you could make a case for the recent action to be a bearish flag. However, it must be noted that the measurement would have this contract essentially been worthless. We obviously don't think that.

Nonetheless, we think that a break down below $2.70 necessitates a short position in this obviously bearish market. As for buying this contract, we won't consider it until we are above the $3.30 level.

Natural Gas Forecast for the week of August 27, 2012, Technical Analysis

Natural Gas Forecast for the week of August 27, 2012, Technical Analysis

Find a Broker
Continue to FX Empire Network