Downside momentum fading On the daily chart, prices have finally closed under a series of lows established since the end of January. With it, natural
Downside momentum fading
On the daily chart, prices have finally closed under a series of lows established since the end of January. With it, natural gas also took out the 100% Fibonacci extension level at 2.326. That has exposed the 114.6% level at 1.555. But, positive RSI divergence is present.
While it does not guarantee that a reversal is at hand, it does show that downside momentum is fading. That can at times precede a turn lower. Still, in the event of a bounce, the 20-day Simple Moving Average (SMA) could hold as resistance, maintaining the downside focus.
Daily chart
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