Natural gas markets rallied during Wednesday’s trading session to show many signs of exhaustion in the same spot where we pulled back the previous day. That being said, the market looks set to rebound, and that would certainly make a lot of sense as it looks like we are moving back into the previous consolidation zone. The 200-day EMA is also in this quarter, which of course suggests negative pressure. If we break below the low of the candlestick during Thursday’s trading session, the market is very likely to continue lower.

NATGAS Video 28.01.22

Below, the $3.50 level is a support zone that many people will be paying attention to, and therefore, we are likely to see a major push below given enough time as we gain momentum. to direct us towards warmer temperatures. All things being equal, if we break above the high of the last two day candlestick, I will not be long, I will simply be waiting for an opportunity to start selling at higher levels. All things being equal, when you look at this chart, you can see that there is a huge descending triangle above it that has a “measured move” down to the $3.00 level. In fact, this is an area where we’ve seen a lot of balance in this long-term market, so I like this target lot. Think of rallies as opportunities to sell from higher levels.