Natural Gas Price Analysis: XNG/USD drops to $2.37 within nearby descending triangle
|- Natural Gas price remains pressured after snapping two-day winning streak.
- 50-DMA adds strength to $2.45 upside hurdle, 21-DMA acts as additional support.
- Sluggish oscillators suggest continuation of further XNG/USD grind within bullish chart formation.
Natural Gas Price (XNG/USD) holds lower grounds near $2.37 during the early hours of Tuesday, after posting the first daily loss in three the previous day.
In doing so, the XNG/USD price remains inside a two-week-old descending triangle formation amid sluggish MACD signals and steady RSI (14).
As a result, the Natural Gas Price is likely to remain sideways within a bullish chart pattern, currently between $2.45 and $2.32. That said, the 50-DMA adds strength to the $2.45 upside hurdle.
It’s worth noting that an upside break of $2.45 won’t hesitate to challenge a downward-sloping resistance line from March 08, close to $2.57. Following that, the six-week high marked on Friday at around $2.58 can act as the last defense of the Natural Gas sellers.
On the contrary, the 21-DMA level of around $2.33 restricts the immediate downside of the XNG/USD price before directing the energy instrument towards the bottom of the stated triangle, near $2.32.
Should the quote remains bearish past $2.32, the yearly low marked in April around $2.11 and the $2.00 psychological magnet will gain the market’s attention.
Overall, the Natural Gas Price remains on the bull’s radar despite the latest pullback in the quote.
Natural Gas Price: Daily chart
Trend: Further consolidation expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.