Natural_Gas_Trader

Natural Gas Trend Change Example

NYMEX:NG1!   Natural Gas Futures
Natural gas has run substantially and looks like consolidation has started. How it consolidates is important for determining if it will start a bullish cycle.
This is to show structure only, not prices levels. With such a large run it would not be surprising to see a large retracement before continuing higher.
For this to be a bullish cycle it must break the previous high as shown by the green lines and arrows.
If we see a bounce then a break of the retracement low we should plan for 2 things:
I did not put lines on the chart for this one, if the $1.52 low broke quickly this would signal that $1.52 was not the cycle low. This would have to happen very fast and is less likely but still possible.
The more likely bearish possibility is the price fails to break the recent high and the breaks the retracements low. That would signal a new bearish cycle.
See charts below for reference.

Comments

what if we brake 1.65?
Reply
@AdamBru, Breaking $1.65 could mean nothing it depends on the price action leading up to it.
Reply
AdamBru Natural_Gas_Trader
@Natural_Gas_Trader, are we going to see new bottom?
Reply
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing Refer a friend House Rules Help Center Website & Broker Solutions Widgets Charting Solutions Lightweight Charting Library Blog & News Twitter
Profile Profile Settings Account and Billing Referred friends Coins My Support Tickets Help Center Ideas Published Followers Following Private Messages Chat Sign Out