Natural Gas Price Forecast – Natural Gas Markets Form Negative Candlestick
Natural Gas Price Forecast Video for 28.11.22
Natural Gas Technical Analysis
Natural gas markets have gone back and forth during the trading session on Friday, as we have swallowed the “real body” of the previous candlestick. At this point, it’s likely that we could see the market pullback just a bit, perhaps down toward the $7 level. The $7 level was previous resistance, and it’s also worth noting that the market has gotten a little bit ahead of itself. Because of this, it’s very possible that we could see pullbacks offer buying opportunities. On the other hand, if we break down below the $7.00 level, we could go looking to the 50-Day EMA.
The 50-Day EMA sits right around the $6.84 level, and then the $6.72 level underneath where the 200-Day EMA sits. If we break through all of that, then it’s possible that we could have a more significant breakdown. It’s worth noting that the breakout candlestick was a massive shooting star, so we have a lot of volatility ahead of us. Obviously, if we were to break above the top of that candlestick, it would be an extraordinarily bullish sign, and could send the market much higher, perhaps all the way to the $10.00 level over the longer term.
We have recently broken out of a massive “rounded bottom” pattern, so it does suggest we probably have further to go to the upside. However, this market is extraordinarily volatile and there are a lot of questions as to whether or not the market is going to see the Americans be able to provide the European Union with enough LNG. Going forward, I think the only thing you do is protect your position size.
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