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Natural Gas Price Breakout Faces $2.93 Resistance Test

By
Bruce Powers
Updated: Aug 26, 2026, 20:51 GMT+00:00
Live PriceNatural Gas

$2.89650

+1.81%

Natural gas signals a bullish reversal above $2.89, but $2.93 resistance remains key before prices can target $2.98 and the $3.25 zone.

In this article:

Triangle Breakout Faces First Test

Natural gas signaled an initial bullish reversal above $2.89, which marked resistance for the current bottom consolidation range. Consolidation took the form of a small symmetrical triangle that developed over almost five weeks. A 22-day high of $2.93 was reached during the session, successfully testing resistance near the 50-day moving average, currently near $2.93 and falling. Before the breakout is confirmed, natural gas needs to post a daily close above $2.89. If that happens, the 50-day moving average could either continue to define dynamic resistance or be reclaimed, opening the way toward higher potential targets.

Natural gas futures daily chart shows bullish reversal signal from consolidation. Source: TradingView

$2.98 Comes Into Focus

An initial upside target above the 50-day moving average is the recent lower swing high of $2.98, which was also a higher swing low during the prior advance. The 200-day moving average near $3.25 and the lower swing high of $3.25 from early July then mark the next higher price zone based on the structure of the trend. That high preceded the breakdown from the prior uptrend, which occurred the next day with a sharp decline below multiple indicators that had been showing support. In addition, the 200-day moving average was recognized as resistance during the prior advance that peaked at $3.42, ultimately resulting in a new lower swing high.

Natural gas futures daily chart shows larger trend structure. Source: TradingView

Support Zone Takes Shape

Given the new bullish reversal signal it looks like natural gas is confirming a support zone near recent lows, beginning with the August low of $2.67 and extending lower to the January low of $2.58. If Wednesday’s bullish signal is followed by further signs of strength, the top of a larger range that has covered much of 2026 beginning in March, may eventually be tested as resistance. The 200-day average also represents dynamic resistance near the top of the range, especially since it was confirmed as resistance with the high during the previous advance. A sustained move above that average would therefore represent a more meaningful shift in the developing trend.

$2.84 Sets Short-Term Risk

Near-term support is Wednesday’s higher daily low of $2.84, as a drop below it would show weakness and could send natural gas back into the symmetrical triangle formation. For now, the $2.89 breakout level and $2.84 low provide the clearest short-term levels to watch. Despite the

potential for higher prices, resistance near the 50-day moving average remains a potential roadblock. How price responds around that average should help determine whether Wednesday’s reversal develops into a sustained advance or remains another failed attempt to break higher.

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About the Author

Bruce PowersSenior Analyst

With over 20 years of experience in financial markets, Bruce is a seasoned finance MBA and CMT® charter holder. Having worked as head of trading strategy at hedge funds and a corporate advisor for trading firms, Bruce shares his expertise in futures to retail investors, providing actionable insights through both technical and fundamental analyses.

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