Here are a few interesting observations on MCX Natural Gas:
- Has taken support at 38.2% fib retracement of 110-203
- Today's low more or less coincides with a previous resistance
- Forming the third candle of the Morning Star pattern today (pending today's close)
- Forming a Bullish Belt Hold candle today (pending today's close)
- Positive reversal between price and RSI
Based on all these, if price manages to close above 175 today, we could see resumption of up move going forward. Invalidation point would be a break below the low of the previous candle (166).
In order to understand Morning Star and Bullish Belt Hold line candles and their implications, click here
In order to understand positive/negative reversal between price and RSI, click here
