Natural Gas forecast for the week of July 23, 2012, Technical Analysis

Get Forex buy/sell signals directly to your email and by SMS.
To learn more click here

The natural gas markets had an extremely impressive week as they broke above the three dollar level to close at roughly $3.08 or so. This is significant, mainly because of the $3.10 level that we see as such massive resistance. If this level gives way, it looks like there is a massive air pocket all the way to the $3.50 level, and then above their the $4.00 level. This means that a daily close above the $3.10 level could lead to a massive surge higher.

It is because of this and the shape of the candlestick for the week that we are starting to think about buying this market. This is in a super long-term trend following type of trade, rather an opportunity pick up a dollar or so in the natural gas market. On the whole, we still think the bearish momentum will pick back up, but with the recent price action we understand that we may have to wait before shorting again. On the other hand, if we broke the lows of this past week we would think of this as a very bearish signal.

Natural Gas forecast for the week of July 23, 2012, Technical Analysis

Natural Gas forecast for the week of July 23, 2012, Technical Analysis

Want to read more articles like this one?
Enter your e-mail address and read FX Empire content directly from your inbox.
 
We value your privacy. Your e-mail address will not be shared.
About: FX Empire Analyst - Christopher Lewis

Christopher is a part of the FXEmpire.com analysis team. He writes Forex and Commodities technical analyses on daily and weekly basis. Christopher writes his analyses in a professional and yet simple to understand manner. His analyses are available in both text and videos.

  View all of FX Empire Analyst - Christopher Lewis's Articles    
Share Your Thoughts: Post a Comment


Your email address will not be published.


include_once( __DIR__ . "/request_context.php");