Natural gas markets were positive for the week, gaining from the recent floor we have seen at the $2.40 level. The market is very weak over the longer-term, and the trend certainly hasn't been changed by anything that has happen over the last week. However, there is a significant amount of support in this area, and as such we see it as a nice consolidation area.

Selling this market is the only position that a prudent trade can take at this point. The $3 level in our opinion is strong resistance waiting to happen. Because of this, we are willing to sell the market as we approach that area. The $2.80 level is also resistive, so for those that choose to be a bit more aggressive, you can use that as a guide. Buying isn't even a thought at the moment.

Natural

Natural Gas Forecast for the Week of February 20, 2012, Technical Analysis

Natural Gas Pivot Points (Time Frame: 1 Day)

 Name  S3  S2  S1  Pivot  R1  R2  R3

 Classic
2.3160
2.4140
2.5520
2.6500
2.7880
2.8860
3.0240

 Fibonacci
2.4140
2.5042
2.5598
2.6500
2.7402
2.7958
2.8860

 Camarilla
2.6251
2.6467
2.6684
2.6500
2.7116
2.7333
2.7549

 Woodie's
-
2.4240
2.5720
2.6600
2.8080
2.8960
-

 DeMark's
-
-
2.8370
2.6745
2.6010
-
-