After recording the bottom at 3.680, gas head to the upside within an ascending correctional channel for the decline that started from 4.993, and over daily basis we can see that a bullish formation has been completed where gas breached the neckline at 3.920. 
After reaching the channel’s resistance gas reversed lower to retest this neckline and currently is fluctuating around it. This week’s opening was with a bearish gap where we believe gas will decline to cover it at 3.988 which meets with 23.6% correction that turned into resistance which might restrict the upside move. In general, we expect the upside move to continue within the provided channel, yet we note that Stochastic is still pointing lower and the resistance is expected to be strong at 3.988 which supports the negative momentum and therefore for the bullishness to continue gas much breach this resistance as mentioned at 3.988 and also consolidate above 3.895 where targets then start from 4.175.
By: Yasir Mubarak
Senior Technical Analyst
yasir.mubarak@ecpulse.com
www.ecpulse.com