Natural Gas Treads Water in Ascending Channel

Natural gas is trading within an ascending channel formed since early August, with prices recently bouncing off the mid-channel area around $2.730 to resume its upward trend.

The commodity currently hovers around $2.786 after a pullback from a swing high near the top of the channel at $2.900.

Fibonacci extension analysis suggests potential targets for buyers, with the 38.2% level aligning with $2.823 and the 50% extension sitting at $2.851, close to the swing high.

A larger rally could reach the 61.8% Fib at $2.880 or even the 76.4% level at $2.915, maintaining the broader uptrend intact.