Natural Gas Sees Cyclical Low, Buy Target Suggests 137% Price Increase

Natural Gas (NG) has been trading within an 18-year Channel Down pattern. It has been below both the 1M MA50 and MA200 since January 2023, marking the second phase of a Bearish Wave.

Last week, NG hit the Falling Support Zone as well as the horizontal Support Zone, which is in effect since December 2015. The 1M RSI touched its own Rising Support.

The current market conditions indicate that the bottom of the Sine Wave has been reached, a pattern holding since 2010. This suggests a Cyclical Low and a bullish long-term mix, indicating that NG is at or near a new long-term bottom.