On analysis of the movements of natural gas futures since the announcement of the weekly inventory, I find that NG bulls expect more a bounce inside the fresh trading zones, once it stays above their ‘Trapping zone.” Let’s have a look at the movements of my committed “Territorial Zones,” which I discussed in my last few posts. No doubt that this move by natural-gas bulls will encourage the bears for immediate vengeance. Still, natural-gas bulls look too aggressive to move further upward with supportive winters ahead. As I’ve mentioned before, the ‘November factor’ brings volatility, so be carefulthe following charts.
Daily Natural Gas
Weekly Natural Gas
Disclaimer: This analysis is only for educational purposes. Take your position at your own risk.