Natural Gas has struggled at 3.965-3.976 for the past 3 days. We had warned the market should run out of momentum here but we do need a stop loss on shorts above 4.050 for 4.413/414 as the next upside target. 

Failure to break higher in this severely over bought market should see us drift back to 3.924/917. Bears need the market back below here or we risk another move towards this week’s high. If we do continue lower, look for another test of 3.869/855 support & a good chance of a low for the day again. However a break of 3.834 could keep the pressure on for excellent support and a buying opportunity at 3.778/777.



Long term levels

3.933     2012 High

3.924     Last Week’s High

3.793     200 Week Moving Average

3.748     December High

3.645     January High

3.590     Last Week’s Low

3.481    100 Day Moving Average


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