Natural Gas Price Forecast: Eyes $3.34 as Bulls Challenge Key Resistance

Natural Gas Tests Key Resistance Levels

Natural gas extended its rally on Monday, reaching a 48-day high of $3.30. Strength will be confirmed if the session ends above $3.25, the previous swing high that capped recent resistance. A daily close above that level would mark a significant technical development, as the long-term uptrend line—once dynamic support and later resistance—would be reclaimed. Overcoming this barrier could signal that buyers are regaining control of the trend.

To navigate natural gas volatility more effectively, it’s essential to study How to Trade Natural Gas Without Blowing Up Your Account

ABCD Pattern Projects Near-Term Target

The market is approaching a critical technical zone. The first upside target lies near $3.34, representing the 100% measured move of a rising ABCD pattern. This level coincides with the intersection of a long-term uptrend line and a descending resistance line, creating a high-value pivot area. If price can sustain above these converging trendlines, it would confirm improving demand and add credibility to the bullish case.

200-Day Average as Major Hurdle

Beyond the $3.34 zone, the next potential resistance sits near the 200-Day moving average at $3.49, which aligns closely with the 127.2% extension of the ABCD pattern at $3.50. The convergence of multiple targets often increases the likelihood of price interaction at that zone. Importantly, natural gas has traded below its 200-Day average since July 21, underscoring the broader weakness in the trend. A test and eventual break above this level would mark a decisive shift in sentiment.

Bullish Reversal Potential Builds

As long as prices remain beneath the 200-Day average, downside risks remain intact. However, a rally and daily close above $3.20 already suggests a developing bullish reversal. A stronger confirmation would come from sustained trading above $3.34 and ultimately the 200-Day average. If achieved, natural gas could begin establishing a more durable uptrend. For now, traders will watch closely whether resistance holds or if momentum carries the market into higher territory.

For a look at all of today’s economic events, check out our economic calendar.