On Friday, August 24th, Natural Gas reversed its recent bullish trend and quickly approached to test the 2.90-2.89 level. This level represents quite serious support zone, which served as a resistance in July and it was broken on August 18th. If this level will be broken, the next serious support zone will be 2.850-2.833. By breaking this level, which represents Fibonacci retracement 50%, NG should test the next level at 2.774-2.750, which represent Fibonacci 78.6%. Considering the time frame before coming heating season, we shall see consolidation in that area, with the following trend reversal.
Please note, that before you make a decision to go long or short at those levels, check RSI and MACD indicators to confirm your decision.