RSS
Twitter
Facebook
LinkedIn
Newsletter
|
#1
06-14-2012, 12:20 PM
|
||||
|
||||
Nat Gas Deep Correction Ended?
Needless to say, today's less-than-expected inventory build caught the natural gas market VERY short, which has triggered a mini-panic to cover positions. Whether or not Mr. Market is getting long now is anyone's guess fundamentally, but technically my work is screaming that this week's lows ended a deep correction of the initial advance of an intermediate-term bull phase (1.902 to 2.759).
If accurate that means that natural gas prices are in the early stages of a revisit of the May highs. If that happens, then the shorts will be on the verge of a major panic to cover (unlike today's mini-panic), which will have significant implications for BOTH price and supply/demand perceptions. That would be bullish for holders of the U.S. Natura Gas Fund ETF (UNG) and ProShares Ultra DJ-UBS Natural Gas (BOIL).
__________________
For more of Mike Paulenoff, sign up for a Free 15-Day Trial to his ETF Trading Diary. MJP Market Strategies and AdviceTrade cannot and do not assess, verify or guarantee the suitability or profitability of any particular investment. The risk of loss in trading index futures can be substantial. You should therefore carefully consider whether such trading is suitablef or you in light of your financial condition. You bear responsibility for your own investment research and decisions and should seek the advice of a qualified securities professional before making any investment. As an express condition of using this service and anytime after ending the service, you agree not to hold any employees of MJP Market Strategies and AdviceTrade or the companies themselves liable for trading losses, lost profits or other damages resulting from your use of information in MPTrader in any form (Web-based, email-based, or downloadable software), and you agree to indemnify and hold MJP Market Strategies and AdviceTrade and their employees harmless from and against any and all claims, losses, liabilities, costs, and expenses (including but not limited to attorneys' fees) arising from your violation of this agreement. This paragraph is not intended to limit rights available to you or to us that may be available under the federal securities laws. 
|
 |
| Bookmarks |
«
Previous Thread
|
Next Thread
»
| Currently Active Users Viewing This Thread: 1 (0 members and 1 guests) | |
| Thread Tools | |
| Display Modes | |
Linear Mode
|
|
All times are GMT -6. The time now is 04:10 PM.