Natural gas price action (UNG) could be a case of sell the rumor, buy the news.
The EIA Natural Gas Report comes out at 10:30 a.m. EST, this Thursday.
The 61.8%, retrace level (from the June low to the August top) for UNG is around the 11.04, area.
If UNG continues lower in the next session and does not make significant headway (down), it may have found a bottom ahead of the report.
Note that price action can get volatile for a few minutes after the release.
Nat-gas is similar to silver in that regard … stop run attempts (and spikes) are the norm.
We’ve already come off a long term low during June this year. Now, we have seen a recent Sign Of Demand (using a Wyckoff term) during the past week … it all suggests bias to the upside.
Expandable version of the chart is here.
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