The natural gas markets fell on Monday as the downtrend in this commodity looks to continue. The triangle that has been holding up the price of natural gas has broken, and we think that this signals the next leg down in this market. The width of the triangle measures 60 cents, and this has us gunning for a $2 target before the move fades overall. There is absolutely no reason to buy this contract at the moment, and we will only sell now. In fact, we are comfortable selling right now and holding onto this trade.

Natural

Natural Gas Forecast February 28, 2012, Technical Analysis

Natural Gas Pivot Points (Time Frame: 1 Day)

 Name  S3  S2  S1  Pivot  R1  R2  R3

 Classic
2.4460
2.5315
2.5860
2.6715
2.7260
2.8115
2.8660

 Fibonacci
2.5315
2.5850
2.6180
2.6715
2.7250
2.7580
2.8115

 Camarilla
2.6020
2.6148
2.6277
2.6715
2.6533
2.6662
2.6790

 Woodie's
-
2.5238
2.5705
2.6637
2.7105
2.8038
-

 DeMark's
-
-
2.6988
2.6579
2.5587
-
-