Natural Gas Price Hovers Around $2.89 as Uptrend Faces Near-Term Fatigue

Natural gas has been on an upward trend since hitting its low near $2.639 in late July, forming a rising wedge that eventually broke out to reach the $3.018 swing high.

Since reaching this peak, the price has pulled back and is now testing the resistance zone that capped gains through most of August, raising questions about whether old resistance can flip into fresh support.

The Fibonacci retracement tool, drawn from the low to the high, highlights where dip-buyers may look to step in. The 38.2% level at $2.873 has already been tested and briefly breached, with price currently hovering around $2.889.

Momentum readings, however, hint at some near-term fatigue, with the Stochastic oscillator curling lower after reaching overbought territory and the RSI slipping from the mid-50s towards the midline.