Natural Gas, Technical Analysis – H4
We continue to monitor the development within the “megaphone” (broadening formation) pattern, which has been working flawlessly so far.
We continue to monitor the development within the “megaphone” (broadening formation) pattern, which has been working flawlessly so far. Currently, the market is likely experiencing the final stage of the downward move inside the megaphone, allowing us to expect a bounce from its lower boundary (the 2.730 area). However, if we see a break below, the configuration may completely shift in favor of the bears.
Key Levels:
□ 2.730 — Lower boundary of megaphone / key support
□ 3.000 — Upside target
□ 2.600 — Downside target (on break)
Primary Scenario:
Decline to 2.730, followed by a reversal upward toward 3.000.
Alternative Scenario:
Break of support at 2.730 and decline toward 2.600.
Analyst Commentary:
Attention on the 2.730 area, which is key for both scenarios.
Nikolai Krishtopov is a Market Analyst at Investizo with more than 15 years of experience in the financial markets industry and over a decade of trading experience. His areas of focus include forex and crypto markets, technical analysis, intraday trading and market behaviour.