Natural Gas Price Forecast: Triangle Breakout Nears as Resistance Holds

Author: Bruce Powers

Published: August 24, 2026

Overview

The article discusses the current state of natural gas prices, which are experiencing a consolidation phase with resistance holding near $2.89. A symmetrical triangle pattern is developing, indicating that a significant directional move may be imminent.

Current Market Conditions

Natural gas prices tested the upper boundary of a consolidation range, marking the third week of this pattern. Initial bullish signals were observed with a breakout attempt from a symmetrical triangle and a recovery of the downtrend line. However, resistance was confirmed at $2.89, leading to a price drop as sellers regained control.

Technical Analysis

The article highlights that the falling 50-day moving average, currently at $2.95, adds downward pressure to the market. The price action suggests that the bearish trend is likely to continue unless there is a sustained reclaim of the 50-day moving average. A breakout above this level could indicate a more successful advance in prices.

Key Resistance Levels

Above the 50-day moving average, a significant resistance level is identified at $2.98, which is supported by previous swing highs and lows. The article warns that if the price breaks below last week’s low of $2.69, it could reinforce the bearish outlook, interpreting the current triangle pattern as a bearish pennant.

Conclusion

In summary, the natural gas market is at a critical juncture, with resistance levels holding firm and a potential breakout on the horizon. Traders are advised to monitor the price behavior closely, particularly in relation to the 50-day moving average, to gauge future market movements.

About the Author

Bruce Powers is a senior analyst with over 20 years of experience in financial markets. He holds an MBA and is a CMT® charter holder, having worked in various roles including head of trading strategy at hedge funds.