With the release of the RBA’s Monetary Policy Minutes this morning, I wasn’t able to fit this peach of a natural gas setup in today’s update.
The traders at Vantage FX talked, and we listened by adding 4 highly popular commodities markets to our MT4 Platform. Among these additional markets was of course, NG.
“Natural Gas in the United States is traded as a futures contract on the New York Mercantile Exchange. Each NYMEX contract traded is worth $100,000.”
NG 4 Hourly:
The last time we took a look at the NG 4 Hour chart was back in March, and price had been trending down cleanly inside a bearish channel.
As you can see, the bottom of the channel highlighted in that previous post held after one small lurch lower, and price has now printed an equally as clean bullish channel.
Price has tried to push its head below support, but hasn’t managed to break any major horizontal support levels just yet. If you aren’t yet on board the short train, taking a late entry is the high risk option, with these channels on the intra-day timeframes just as likely to re-activate after a small fake out.
The safest play here would be to wait for a re-test of the broken trend line support this time as possible resistance, and either short if the level holds as new resistance, or buy back into the channel if the level is re-activated again as support.
“0.01 Lots Controls 100Btu of Natural Gas”
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