Natural gas seems to be in for another bullish ride, as price broke above the resistance of its symmetrical triangle consolidation pattern on the hourly chart.

Price could be in for a rally that’s the same height as the chart formation, which spans around $1.00. Technical indicators, however, are looking mixed.

The 100 SMA is above the 200 SMA to suggest that the path of least resistance is to the upside or that the climb is more likely to pick up than to reverse. Natural gas is trading above both indicators, so these could hold as dynamic support on dips.

Stochastic is heading south, so price could follow suit while bears are in control. The oscillator has room to move lower before reaching the oversold region to signal exhaustion among sellers. RSI is moving sideways on middle ground to reflect consolidation.

Natural gas is pulling back to the broken triangle top, which appears to be holding as support for now. A break below this might signal that sellers are taking over. Also, it’s worth noting that the gap between the moving averages is narrowing.

Natural gas continues to surge as traders anticipate more supply disruptions leading up to the winter season later in the year. This could drive stockpiling activity, which keeps demand supported even with cooler temperatures.

In the near-term, though, natural gas could face some downside as purchases of cooling commodities drop now that fall season is here. The upcoming inventory figures from the Department of Energy should shed more light on supply and demand dynamics.

Elsewhere in the globe, news of supply concerns in Europe and China could also keep prices supported for much longer. Forecasts that this year’s winter could be record-breaking in terms of low temperatures are also fueling expectations of more expensive heating commodities.