Good Morning !
This is yet again a continuation of the post written on 4th April 2017 - NATURAL GAS MID TO LONG TERM OUTLOOK CONTINUED-4th April 2017
Excerpt from the above mentioned post -
"The downtrend started from 3.994 is in the form of wave C and hence have updated the chart accordingly. This again has the same target of $1.3 - $1.0 in a time span of 3 to 6 months.
The top made today in form of wave C.3.4 of $3.278 though has passed the low made by C.3.1 at $3.145 marginaly but in futures this rule of non-overlapping is sometimes taken out. Expecting a reversal any day from here for lower levels again.
Hold on to this trade by revising the Stop loss of $3.513."
This is yet again a continuation of the post written on 4th April 2017 - NATURAL GAS MID TO LONG TERM OUTLOOK CONTINUED-4th April 2017
Excerpt from the above mentioned post -
"The downtrend started from 3.994 is in the form of wave C and hence have updated the chart accordingly. This again has the same target of $1.3 - $1.0 in a time span of 3 to 6 months.
The top made today in form of wave C.3.4 of $3.278 though has passed the low made by C.3.1 at $3.145 marginaly but in futures this rule of non-overlapping is sometimes taken out. Expecting a reversal any day from here for lower levels again.
Hold on to this trade by revising the Stop loss of $3.513."
Natural Gas was range bound from January 2015 till January 2018 in the zone of $3.8 to $1.6 zone. The downtrend mentioned in the previous post from $3.994 which as per assumption was C for a long downtrend towards targets of $1.6 to $1.0 zone turned out to be a complex sideways correction by oscillating between $3.9 to $2.5 and hence is now giving a clearer view to the current trend. The long term targets are there for NG in zone of $1.6 to $1.0, but adding on to that, NG should now test zone of $4.0-$4.5-$5.0 on upside and then fall from there for the bigger dowside targets.
The SL was revised to $3.513 for the continued sell call in the previous post on 4th April which did not trigger so far and only got there for a tick trade on 29th January 2018 and from there within a span of two calendar weeks, NG is again dropped to the support zone of $2.5.
Attaching the chart with updated wave counts with the corrective waves highlighted in ellipse shape and from here first NG should touch the zone of $4.0-$4.5-$5.0 on upside and then fall from there for the bigger dowside targets.
BUY NG at $2.2550 with a Mini SL of $2.50 with target zone of $4.0-$4.5-$5.0 on upside in a time frame of 6 to 9 months.
Once this zone of $4 to $5 is achieved on upside, post that NG should continue its downtrend journey which the wave counts have been waving do in the form of next bigger leg fall.
Happy Trading !
