You will come across specific terms in these notes (FLD, VTL, and so on). Rather than explain them each time, you will find definitions here: guidance notes for Hurst cycles terminology.
Natural Gas – nearing a counter-trend weak 20 day cycle trough but on the way to a 20 week cycle trough.
Price is running along the downswing of a 20 week cycle which peaked mid June. The downtrend is pronounced with strong momentum and technically not oversold yet, meaning there is downside room to breathe. Notice that the 40 day cycle peak didn’t even penetrate the 20 day VTL and although we are expecting a 20 day cycle trough any time now, we expect the rally to be very muted and fail early. Looming large at the end of the month and drawing price down into it is the 20 week cycle low. The rough target is under 1.5 for now, corresponding to the double bottom back in April.
This post was first published on Hurst Cycles Notes.
