The previous Friday’s close left the prompt below its 40 – week and the observation was made that in response to the weak close was that the violation of an important trend line should considered a potential. Prices didn’t take long for the market to resolve that potential and the prompt gas gaped through the trend line leaving a weekly (and daily) continuation gap that the November contract never threatened to fill.
The expectation if the critical trend line failed to continue to limit the decline was a test of conventional support presented by the June/July lows at $5.33and likely during November’s tenure as prompt. That didn’t take long either to blast that support. An absence of buyers and abundance of sellers drove the prompt lower each day. On Thursday November traded through the last higher low of the long 2022 uptrend.