Last time we visited Natural Gas was back in late January, we we was looking for a possible wave 4 low indicating wave 5 higher was unfolding. Well with price currently retesting the former peak at 5.39 we think its safe to say that wave 4 indeed did complete with the test of 3.554 and wave 5 higher towards at least 8.34 now is in motion.
That said, we are now entering the famous wave 5, which for the commodity complex means a possible run-away rally that could lift NG straight through resistance at 8.34 for a continuation higher to 11.03 and even the 205 peak at 15.78. Time will tell, but all the ingrediencies are in place to make wave 5 an extended rally.