Natural Gas futures price movement in a narrow range what I termed as a “Fresh Buy Zone” in my last analysis, I find that the struggling bulls to be very near to a definite win. No doubt, that the weekly closing plays an important role in deciding the opening level on the first trading session for the forthcoming week.
On analysis of the movement of natural gas futures price in different time zones, I find that the natural gas futures price seems ready to break its first psychological resistance at $3.333 very soon, may be during the first two trading sessions of week of April 24th, 2017 because the current position of natural gas futures price since the announcement of weekly inventory last Thursday still seems to be strong enough for joining an uptrend voyage once again.
On analysis the movement of natural gas futures price after closing on April 21st , 2017 in the same 4 Hr Chart pattern, what I constructed in my last analysis, it seems evident enough to define that all the forthcoming moves in the days ahead will be more technically prone rather than being prone to weather related announcements.
Lastly, I would like to conclude that the movement of natural gas futures price before the last weekly closing; at a strong supporting level in 4 Hr. zone at 200 days moving average, where it continuously attracts buyers. In the first trading session for the week of April 24th , 2017, I find the natural gas price to find an opening at $3.166 and well may try to sustain its level within the “Fresh Buy Zone” for first two trading session.
If the natural gas futures price successfully maintains its position above $3.166 for first two trading session, it will definitely try to breach its first psychological resistance at $3.333 on or before inventory announcement on Thursday, April 27th, 2017.
Although, the chances of a gap down are bleak, even if the natural gas futures price opens at a little gap down on the first trading session of the week, the reversal of the price will definitely be too strong. I do not find the natural gas futures price to breach the downward level or up to testing the major psychological supportive zone from $3.078 to $3.022.
Have a Nice Trading Time.
Disclaimer: This analysis is purely based on the observations. I do not have any position in natural gas. One can create position in natural gas at his/her own risk.
