TradingView
ABRAK75
29. Mai 2016 03:27

NGAS testing long-term bearish trend line 

Natural Gas (Henry Hub)FXCM

Beschreibung

Not an asset I would recommend to trade given it's highly volatile nature, but I find this chart interesting. Last Friday's high (27/05/16) allows us to establish a trend line starting from February 2014's highs. Hard to say what might happen here, but if prices break above this trendline (resistance at $2.19) sometime in the next week or so, we'd probably see a follow through in bullish momentum with a possible target of $2.4. At around this level, prices would hit another trend line, which would perhaps be followed by a correction in the market. Any break above $2.5 would provide technical reasons to believe that natgas would have room to move higher over the medium term. This is obviously a really bullish scenario, and I suspect that prices won't just rise in a straight-line fashion if some of these resistances break. So keep in mind that if the market starts falling after failing to break above $2.19 this upcoming week, prices could very well resume their bearish trend.
Kommentare
ABRAK75
First target hit today (pink trendline.)
ABRAK75
The first trend line broke.
ABRAK75
Looking at the future contract, I would wager that there's upside risk.

Mehr