Natural Gas – Weekly Analysis
Natty continues its unprecedented rally, and today we’ll examine whether this move is nearing exhaustion or still has room to push higher. In this Natural Gas analysis, we break down the latest candlestick structure, review the Elliott Wave counts, and track momentum to identify the highest-probability paths from here. Whether you trade Henry Hub futures, UNG, or spot, this report lays out what the current setup implies for the coming weeks—and where the key confirmation and failure lines sit.
CANDLES
Natural Gas closed the weekly and 10D frames with healthy bullish continuation candles, keeping the mid-term odds solidly bullish. Friday’s daily price action spooked some investors, but bulls recovered into the close, significantly reducing the immediate bearish risk. At this point, a very strong signal is required to confirm a reversal, and we may see a few sessions of sideways or slightly downward movement first.
Overall, the commodity is neutral in the short term, while the mid- and long-term odds remain bullish.
Short term: neutral
Mid term (weekly): bullish
Long term (monthly): bullish
Classical Pattern – Inverse Head & Shoulders
After September’s Bullish Engulfing, Natty rallied sharply in October and is now set to break out above the IHS neckline. A green November close would likely complete the pattern.
ELLIOTT WAVES
Mid Term
As I discussed in September, investors should be prepared for a 70–140% rally over the next few months/quarters. This hypothesis remains intact.
Last Wave
At a micro level, Natural Gas possibly completed wave 3.
SUMMARY:
Following a strong bullish close in September, Natural Gas extended its advance in October and continues to maintain strong mid-term momentum in November. While the short term is vulnerable to fluctuations—and this is normal for the commodity—the longer-term odds remain firmly bullish.
Short term: neutral
Mid term: bullish
Long term: bullish
Happy Trading!
