Natural Gas Price Forecast: Support Test Sets Up Potential Bullish Reversal
By Bruce Powers | Updated: July 22, 2026
Overview
Natural gas prices are showing early signs of strengthening after successfully defending key support levels. A breakout above $2.93 is necessary to confirm a broader bullish reversal in the market.
Current Market Conditions
Natural gas advanced to a four-day high of $2.92, marking the second highest traded price in eight days. This increase follows a period of consistent testing of the current support zone, characterized by a small broadening pattern indicating consolidation with expanding price ranges.
Broadening Pattern Analysis
The newly formed broadening pattern may influence future price action, but its continuation is uncertain. A breakout could lead to volatility, making confirmation of any breakout crucial.
Signs of Buyer Control
Recent bullish price action suggests that buyers may be regaining control, particularly after the failure to break below significant support levels. A sustained rebound could indicate that sellers are losing momentum.
Key Resistance Levels
A decisive move above the recent high of $2.93 would signal continued momentum towards the next target of $2.98. The 20-day moving average, which is currently declining, will likely coincide with this level, adding to the resistance challenge.
Importance of Moving Averages
The 50-day moving average has previously served as key trend support. A pullback to test this average, currently near $3.13, would complete the cycle. Holding above the falling 20-day moving average is critical for confirming a bullish reversal.