First Technical Indication Of a Slight Bias Change

Weekly Continuation

After trading through a previous week’s low in each of the last seven weeks followed by settling lower in seven of the last eight, prompt gas held above the expiration lows of August and then reversed to close higher, which was the first higher weekly close since the Friday before the June high.

While September traded a new contract low (trading through its previous week’s low for the eighth straight week while falling from $3.193 to $1.882, trading as contract prompt it held above the 07/29 low. A reversal higher followed that extended through last week’s high (both on a continuation and contract basis) and did so with a significant increase in volume. September traded an “outside” week reversal. While it did not close above $2.149 (last week’s high) it was close at $2.143.