Natural Gas has continued to move up after a breakout from a smaller 1-2-3 bottom in the week ended 6th September, 2024. Refer chart below and the annotation therein. The smaller pattern is part of a larger 1-2-3 bottom that is in the process of forming. The breakout is significant as Natural Gas has been forming a bottom since the past 21 months after the big fall since Aug 22 when it was trading at 4X the current valuation.
Weekly Chart of Natural Gas - 1-2-3 breakout and the subsequent bullish trend
The daily chart of Natural Gas has broken out from a 5 day consolidation on Friday, 20th Sep. This is an example of a bullish signal on a lower time frame that confirms the breakout on the larger time frame. Coming after a significant bottom, its significance cannot be over emphasized.
Daily Chart of Natural Gas showing breakout from a 5 day consolidation
The technical strength of Natural Gas on the weekly and daily chart should carry the price northwards to test the previous pivot high formed on 11th of Jun, 2024
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