• Natural gas reversed from resistance area
• Likely to test support level 2.800
Natural gas under strong bearish pressure after the price reversed down from resistance area lying between the strong resistance level 330.00 (which stopped the sharp upward wave (A) at the end of October) and the upper daily Bollinger band. The downward reversal from this resistance area stopped the previous short-term impulse waves (v) and 3 – which belongs to the sharp upward impulse wave (C) from end December.
Given the strength of the aforementioned resistance level 330.00 and the approaching end of the heating period across the Europe – Natural gas pair is likely to fall further toward the next support level 2.800 (former resistance form the start of January).