Natural Gas Price Analysis: XNG/USD reverses from support-turned-resistance surrounding $2.55
- Natural Gas takes offers to refresh intraday low, fades Friday’s rebound from monthly low.
- Previous support line from early June, 200-SMA prods XNG/USD buyers amid downbeat RSI.
- Looming bull cross on MACD, multiple hurdles toward the south challenge Natural Gas sellers.
Natural Gas Price (XNG/USD) drops for the fourth consecutive day, fading the bounce off the monthly low, to around $2.53 amid Monday’s Asian session.
In doing so, the XNG/USD retreats from a six-week-old previous support line, around $2.55 by the press time.
Also challenging the Natural Gas buyers is the absence of the oversold RSI and the sustained trading beneath the 200-SMA hurdle of around $2.57.
It should be noted, however, that the looming bull cross on the MACD can help recall the XNG/USD bulls in a case where the commodity buyers manage to cross the 200-SMA hurdle of around $2.57.
Following that, a downward-sloping resistance line from June 26, close to $2.65 at the latest, will be in the spotlight.
On the contrary, the latest bottom of the XNG/USD price near $2.49 precedes the 61.8% Fibonacci retracement of June’s upside, near $2.47, as well as a six-week-old horizontal support zone of around $2.44-43, to challenge the Natural Gas sellers.
Overall, the Natural Gas Price is likely to witness a pullback but the bearish trend is far from the sight.
Natural Gas Price: Four-hour chart
Trend: Further downside expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
