Natural gas markets continue look very bearish at the close today, finishing down well below our $4.20 support area. Because of this, you have to wonder whether or not support is going to hold below. However, we do have a significant area at the $4.00-$4.10 area. Add to that the Fibonacci study that shows the $4.10 area as being a 61.8% retracement, and you have the possibility of finding support at this area. Of course, a break below the $4 handle would be very bearish and have us possibly testing the lows. If the market can hold at the $4.10 area, we should see another attempt at $4.50.
Originally posted here
