How low can Natural Gas go?
- Thread starter UVXY20
- Start date
CannonTrading_Ilan
Sponsor
Apparently lower than from your chart. It's nuts how cheep it is now.
CannonTrading_Ilan
Sponsor
1.51 seems to be the current support level but lesson learned from crude oil trading negative....
weekly chart below:
weekly chart below:
THURSDAY | JUNE 13, 2024
After messing with four of the commodities for a couple of months, the charts have begun leading me to believe that it shouldn't be all that difficult to swing trade natural gas. But of course, looks can be deceiving. So, I plan to conduct a little study on the fuel until I get it right—or until I convince myself that I will never get it right.
My present forecast model suggests the asset becomes a justifiable sell candidate above the bold diagonal line, so I'll be looking to short it in that region. If it opts to continue directly south, then I'll just have to wave goodbye until and unless it chooses to pull back to another resistance level somewhere down the road.
After messing with four of the commodities for a couple of months, the charts have begun leading me to believe that it shouldn't be all that difficult to swing trade natural gas. But of course, looks can be deceiving. So, I plan to conduct a little study on the fuel until I get it right—or until I convince myself that I will never get it right.
My present forecast model suggests the asset becomes a justifiable sell candidate above the bold diagonal line, so I'll be looking to short it in that region. If it opts to continue directly south, then I'll just have to wave goodbye until and unless it chooses to pull back to another resistance level somewhere down the road.
I suppose this would have to be categorized as more of an intraday trade rather than a swing style maneuver...
The asset might offer more in terms of gains, but for the time being at least, typical price ranges and historical data, not to mention what appears to be more-or-less of a horizontal support level, suggest that this is a reasonable and rational area in which to lock in profit.
CannonTrading_Ilan
Sponsor
By gapping down at the open, natural gas is now very near the lower extreme of what I calculate as its typical price range. Consequently, I do not expect to see if continue south much beyond six hours or so before opting to pull back, if it chooses to continue south at all. Again, I will need to see a relatively substantive retreat before selling the asset again (or for it to at least remain neutral for several hours).
