Natural Gas is trading around 3.20 in an upward sloping wedge pattern. I will be bearish NG if we see the wedge pattern being broken downwards. The RSI has been diverging since 3.14 top was made. I believe that although the longer-term trend might be to the upside, NG should pull back towards 4 hour cloud support near 3.01.
First important support is at $3.19 – $3.185. Breaking below this level will be given my sell signal. 3.14 is my next support. Breaking below that level as well will confirm my view for a push towards 3.01.
So bulls need to be very cautious as this bull run is expected to end soon.
