Natural gas has recently fluctuated in downtrend channel due to high inventory and tepid demand. According to the chart, it is on course to form a head and shoulder pattern in long-term. In my opinion, 2.88 support line(Target 1) will be tested in short-term, if NG breaks through support line, prices likely to head to target 2 or even lower. However, I remain bullish based on fundamental. The spell of hottest weather of a year is just around the corner, and it will help spark buying and push prices higher when cooling demand comes in play.
Trade active
Trade closed: stop reached:
Due to storage projection was below consensus, NG prices spiked and pierced resistant line, which would lead to higher prices. It's in line with fundamental.
Trade closed: target reached:
Target 1 reached. close