Natural Gas Prices See Bullish Reversal Above $3
Natural gas prices have seen a bullish reversal above $3 after a sharp intraday move. The commodity staged a bullish outside day on Friday, indicating that buyers may be regaining control from sellers.
Earlier in the session, natural gas hit a new retracement low of $2.912 before buyers took back control and pushed prices above Thursday's high of $3.021. At the time of writing, trading continues near the high of the day at $3.028, with a daily close above Thursday's high confirming the one-day bullish reversal signal.
The rebound in natural gas faces resistance ahead, particularly around the 200-day moving average near $3.13 and falling, which is also the site of a failed reclaim by the commodity earlier this year. If prior support holds as resistance, downward pressure remains, while a reclaim of key levels would show improving demand and potentially higher prices.
The weekly chart shows natural gas remaining above important support represented by the 200-week moving average near $2.997 and the 20-week moving average around $2.985. The quick reclaims of these levels within the week indicate that support has been retained, providing a stronger technical foundation for the short-term reversal signal.