NATURAL GAS TESTING THE 7 YEAR HIGH RESISTANCE
Natural Gas has reached 7-year high resistance on 28th of September. As soon as reached that level a major 16% correction noticed in just 3 days, which found a resistance at the bottom of a symmetrical triangle.
It's been following that descending triangle since then.
Key date is today or tommorow to see if the uptrend will continue or we will see a trend reversal.
Here are the scenarios:
LONG:
If price breaks above 50% of the correction retracement (appr. 5.85) then we expect to retest the 7-year high. Just wait for the break to be confirmed.
OPEN POSITION: 5.85
STOP LOSS: 5.7
TAKE PROFIT: 6.1 minor OR 6.35 major
SHORT:
If price break below the bottom of the triangel (appr. 5.65) then we expect the price to retest the bottom of the correction at 5.30
OPEN POSITION: 5.65
STOP LOSS: 5.7
TAKE PROFIT: 5.6 minor OR 5.3 major
It's been following that descending triangle since then.
Key date is today or tommorow to see if the uptrend will continue or we will see a trend reversal.
Here are the scenarios:
LONG:
If price breaks above 50% of the correction retracement (appr. 5.85) then we expect to retest the 7-year high. Just wait for the break to be confirmed.
OPEN POSITION: 5.85
STOP LOSS: 5.7
TAKE PROFIT: 6.1 minor OR 6.35 major
SHORT:
If price break below the bottom of the triangel (appr. 5.65) then we expect the price to retest the bottom of the correction at 5.30
OPEN POSITION: 5.65
STOP LOSS: 5.7
TAKE PROFIT: 5.6 minor OR 5.3 major
Trade closed: target reached
