Natural Gas Futures Face Bearish Signals and Resistance Amidst Weak Outlook

Natural gas continues to face downward pressure, reaching a new trend low of 2.65. However, a minor intraday bounce suggests the possibility of a narrow bullish hammer candlestick pattern, indicating short-term strength if there is a breakout above 2.75. Nevertheless, potential resistance lies around the 50-Day MA at 2.87 and the long-term uptrend line. If a bounce occurs, a bearish reversal is expected at these resistance levels. The next lower target is 2.62, completing a falling ABCD pattern and coinciding with the 200-Day MA. Further downside acceleration is possible, given the break below the 50-Day MA and uptrend line. On a monthly chart, a bearish flag has been triggered, with natural gas on track to close below last month's low.