Natural Gas Prices Poised for Up to 63% Decline: Elliott Wave Analysis

Natural Gas prices have completed a five-wave advance from 2020 to 2022, reaching a high near 801 in 2022. This wave structure is called an impulse and is part of a larger correction. The next wave, Wave C, is expected to decline from the current high near 632 to a potential termination at around 216.4.

The five-wave advance that ended in 2022 was led by Waves I through V, which advanced from 110.5 to approximately 801. After reaching this peak, Natural Gas began a corrective phase, with Wave A declining to 128.5 and Wave B recovering to around 632 by 2026.

Within Wave B, the advance is interpreted as a W-X-Y corrective structure, rather than a conventional five-wave impulse. If this interpretation is correct, Wave C would be the next major decline in the larger correction.