The energy commodity broke the resistance at the 23.6% Fibonacci retracement but is not being able to hold the breakout in today's trading session, the pair is down 1.3% after reaching 5.186 earlier today.
The Bollinger bands are wide and they are opening up, particularly the upper band, which will allow the pair to continue the uptrend in the short to mid-term, Natural Gas was trading above the upper band this morning, which is why we see a drop, the price was relatively high, but as the bands open, it will allow the price to continue rising.
The relative strength index is at 60%, there is still some room that would allow the price to continue climbing, once it enters the overbought status we would expect to see a pullback. The short and long-term moving averages indicate an upward trend, as the price is above both lines.
We love to hear new ideas from traders and want to know what you think!
If you like this topic and want to suggest future topics that you find helpful, let us know by clicking the ‘submit your feedback’ button below.
Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite.
Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit.
