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Natural Gas: Inverse Head And Shoulders Pattern

BySatendra Singh
Published 02/03/2021, 11:02 AM
Updated 07/09/2023, 06:31 AM

On Tuesday, the natural gas futures tested $3.00 level, a psychological resistance, and ultimately found a steep reversal back up to $2.806, and since then sustaining above $2.8. Here I find that the natural gas futures have been sustaining above the upper end of Ichimoku Clouds due to a massive storm coming to the northeastern part of the United States which could drive up the idea of demand, but I find that despite the oversupply issue in natural gas could continue to exert selling pressure till it sustains above $3.2.

The upcoming inventory announcement on Thursday could keep the bullish sentiments intact till this weekly closing. If the natural gas futures could find immediate support at $2.8 and will continue to be so till this weekly closing. But I find that if this level is broken through, natural gas futures could see an advent of a downward trend up to $2.424.

Finally, I conclude that the formation of the Inverse Head and Shoulders pattern is likely to complete in a daily chart of natural gas futures; which could compel the bulls to test the level of $3.448 during the upcoming week.
Natural Gas Futures Daily Chart
Disclaimer: The author of this analysis does not have any position in natural gas futures. Readers are advised to take any position at their own risk; as natural gas is one of the most liquid commodities of the world.

Latest comments

This shameless creature never fails to put a curse on "moving up" NG futures! Man, I have never seen such a "dead wrong" crayon chartist. Why doesn't he just go away and let us enjoy run-up in the futures,
You miss trading strategy, "Reverse Singh Theory". very powerful trading strategy, 75% year gain.
Dear Sir, I am a fan of yours. I always follow your analysis and never made a loss. I always do the opposite of whatever you say in your analysis.
This time your prediction seems true
You're right most of the time Mr Singh. I don't care what some posters here said but, I believe you, Sir. And thanking for your guidance and advice.
Yup.. Singh goes bear you go bull.. and if he goes bull, you go bear.  When was the last time you got one right?
Whatever this person says go against
Excellent Analysis  , agree with inverse head and shoulder , next wk 3.4 plus
That's 2 minutes of my life I wont get back. What an utterly useless analysis. So its' up or down eh? Anyone can write this.
A guy who is always wrong.
I like your analysis, I am always bearish when you do ur analysis
He is a big fool
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