Nymex Natural Gas (NG)

Intraday bias in Natural gas remains neutral and some more sideway consolidations could still be seen above 3.61. But upside is expected to be limited below 4.288 support turned resistance and bring another fall. Below 3.61 will target 161.8% projection of 5.196 to 4.288 from 4.007 at 3.538 first and then 100% projection 6.108 to 3.81 from 5.194 at 2.896 next.

In the bigger picture, the strong break of 3.81 support last week confirms that whole decline from 6.108 has resumed. Further fall should be seen to 100% projection of 6.108 to 3.81 from 5.194 at 2.896 next. More importantly, the development revived the case that medium term rebound from 2.409 is completed at 6.108 already. Also, fall from 6.108 might indeed be resuming the long term down trend for a new low below 2.409. We'll pay attention to the structure of the current decline for more hints. On the upside, break of 4.288 resistance is needed to be the first signal of bottoming. Otherwise, outlook will remain bearish.

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