Natural Gas – Blow-Off Exhaustion Meets Supply Wall
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Trade Details:
• Sell Entry: 4.045–4.050 (current zone)
• Stop Loss: Above 4.065 (recent high and breakout wick)
• Target 1: 3.980 (minor support and first structure break)
• Target 2: 3.940 (gap-fill and prior consolidation)
• Target 3: 3.910 (trendline retest area)
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Thesis:
1. False B
About Natural Gas (Henry Hub)
Natural Gas (NGAS) is a fossil fuel formed from plants and animals buried underground and exposed to extreme heat and pressure. Natural gas is used domestically for cooking, as a power source, in agriculture, and in industrial manufacturing. Natural gas prices fluctuate constantly depending mainly on production issues, stockpiles, weather conditions, economic growth, crude oil prices, and more recently coal. Natural gas is commonly measured in MMBtu, with 1 MMBTu equaling 1 million BTU (British Thermal Units).
Tactical Breakout Play on NG
Before diving into the setup:
It’s important to acknowledge that recent long trades on Natural Gas have underperformed, largely due to:
• Muted global demand amid mild temperatures
• Weak industrial offtake
• Limited U.S. LNG export activity, despite geopolitical tensions
This has translated in
Time to Light the Fuse Again
Entry Zone: 3.740-3.744
Target: 3.80
Stop Loss: 3.715
Rationale:
• Strong bounce off demand zone near 3.715 confirms buyer interest.
• Double bottom setup suggests reversal from intraday lows.
• Increasing volume on recovery candles adds conviction.
• Clear path toward the next resistance zon
Gas It Up Before It Blows UpCMP: $3.728
Direction: BUY
Target: $3.78
Stop Loss: $3.71
Rationale:
• Strong support retested around $3.718–$3.720 with buyers stepping in.
• Multiple wicks rejecting downside hint at accumulation.
• Volume picking up on green candles—momentum building.
Trade Plan:
• Buy between $3.725–$3.730
Gas It Up: Ready to Explode Above $3.70
Trade Setup:
Buy above: $3.705 (breakout confirmation above minor resistance marked in blue)
CMP: $3.697 (awaiting breakout confirmation)
Target Levels (Upside potential):
• T1: $3.735 – minor resistance from recent wick top
• T2: $3.765 – swing high from the previous impulse
• T3: $3.795
Fueling the Rebound: Natural Gas Ready to Ignite from the Dip!Observatiions:
• Support Zone: Around $3.67–$3.68, tested multiple times with good volume absorption.
• Price Action: Strong bullish recovery candle after a sharp fall, forming a potential bear trap / demand absorption setup.
• Volume Spike: High volume near lows indicating possible smart money
Short on NG AgainDespite earlier false starts, Natural Gas is once again showing clear signs of rejection near recent highs, with price action around $3.76 indicating seller dominance and exhaustion in upward momentum.
A strong rejection wick coupled with declining volumes and bearish divergence on intraday indicat
Natural Gas Shorting Opportunity AgainTrade Setup: Short Natural Gas (XNGUSD)
Natural Gas is approaching a key overhead resistance near 3.7176, a level that has previously acted as a supply zone. Price action shows weak bullish momentum with lower highs on intraday charts, suggesting potential exhaustion.
Volumes are thinning on the r
NATURALGAS - Time to Move up?CMP: 3.4020
Price is trading closer to the 0.618 fib retracement (3.3780)
AVWAP (On Daily TF) from the swing lows is placed at 3.4083
Price has been declining non stop without any meaningful pullback and I believe that the price will halt and reverse from here.
On Daily TF, it has left 2 FVGs at
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