Today we will give our technical view on Natural Gas
Main items we can see on the chart:
a) We are working on a weekly timeframe because we are facing structures that come from 2000 until the present
b) The main structures we have are 1- Monthly Support zone and 2-Monthly descending trendline. Those two levels are the edges of the current scenario.
c) Based on past behavior, we can see that after the price reached the support zone and the descending trendline was broken. A significant Bullish movement came after that
d) The idea to think now is: Are we going to see the same behavior?
e) Our Main idea on this scenario is that the price will reach the Monthly descending trendline as the first Bullish Target
f) If we think about taking positions on this asset, we will wait until we can see a clear corrective structure on the 4HS chart, and we will trade towards the monthly trendline ONLY if our Risk Reward Ratio is higher than 1.5
Main items we can see on the chart:
a) We are working on a weekly timeframe because we are facing structures that come from 2000 until the present
b) The main structures we have are 1- Monthly Support zone and 2-Monthly descending trendline. Those two levels are the edges of the current scenario.
c) Based on past behavior, we can see that after the price reached the support zone and the descending trendline was broken. A significant Bullish movement came after that
d) The idea to think now is: Are we going to see the same behavior?
e) Our Main idea on this scenario is that the price will reach the Monthly descending trendline as the first Bullish Target
f) If we think about taking positions on this asset, we will wait until we can see a clear corrective structure on the 4HS chart, and we will trade towards the monthly trendline ONLY if our Risk Reward Ratio is higher than 1.5