FX.co ★ Elliott wave analysis of Natural Gas for August 15, 2023

UNG which we use as a proxy for Natural Gas has been range-bound for the last six months, but we continue to see a bottom-formation building. A break above resistance at 7.65 will confirm the bottom formation and a rally towards 11.90 as the first upside target, but in the longer term, much more upside should be expected as larger wave C is unfolding. Ultimately, we expect larger wave C to exceed the peak of wave A for a rally towards the 38.94 target.

The rally towards the 38.94 target will take many months to unfold, but the primary focus should be towards the upside once resistance at 7.65 gives away.