Hormuz Crisis Triggers Bullish Breakout in UK Natural Gas

The Strait of Hormuz remains closed due to diplomatic gridlock between Tehran and Washington, which is causing a substantial shock to the UK economy. The conflict has led to delayed shipments of LNG from Qatar, making it difficult for European utilities to meet their winter stockpiling targets.

A W formation or double bottom has formed in the daily chart of UK Natural Gas (TTF), indicating a potential bullish breakout. The price is currently at 149.72 pence and has risen by 75.67% on an annual basis.

The technical analysis suggests that once the price closes above 155 GBp, it will signal the completion of the W pattern with a price objective of 180-185 pence. The RSI reading of 62.15 leaves room for further upside before overbought conditions occur.