Natural Gas hit our target of 4429/4444 last week to enter shorts & this trade worked perfectly as we got very close to the target of 4195/90 yesterday. This held the downside as predicted as we bottomed almost exactly here at 4203.
Watch good support at 4203/4193 area again with a low for the day possible but longs need stops below 4170. Next support at 4135/30 is a buying opportunity.
If we can hold support at 4260 this morning & break above 4295 we can push on to 4320/25 & possibly as far as 4352. This should hold a move higher but shorts need stops above 4370 for a selling opportunity at 4395/00.
Weekly outlook is negative & we should have ended the 4 month rally on Friday. Targets are 4195 then 4140/30 which could hold the downside this week. However if we continue lower look for 4040.