Since the first of November, NGAS has had a nice run up but now appears to be pulling back for a correction. As part of my learning Renko Charts, I've created three views of NGAS:
Daily TF: source/close | style/traditional | blksz/.050
2Hr TF: source/close | style/traditional | blksz/.025
5Min TF: source/close | style/traditional | blksz/.010
With the price above the 20, 50, and 200 EMA and with the +DI of the DMI dominant, the overall trend of this market is up. However, looking at the 2Hr and 5Min charts, it looks like there is a correction in play. Once this correction concludes, NGAS can begin it's move up to challenge the 4.050 or even the 4.450 level.
On the 2Hr chart, the charcoal box is what the 5Min chart expands out to. Some key things to note and/or watch:
For now, on side until price and indicators signal that up move is beginning to continue
Daily TF: source/close | style/traditional | blksz/.050
2Hr TF: source/close | style/traditional | blksz/.025
5Min TF: source/close | style/traditional | blksz/.010
With the price above the 20, 50, and 200 EMA and with the +DI of the DMI dominant, the overall trend of this market is up. However, looking at the 2Hr and 5Min charts, it looks like there is a correction in play. Once this correction concludes, NGAS can begin it's move up to challenge the 4.050 or even the 4.450 level.
On the 2Hr chart, the charcoal box is what the 5Min chart expands out to. Some key things to note and/or watch:
- 5Min price has moved off the 200EMA
- 5Min TSI has moved below 0 along with the -DI of the DMI dominant
- 2Hr chart is now correcting and attention should be paid to the TSI. If it breaks below 0, then wait for it to move back above 0 along with the PSAR signaling a buy
For now, on side until price and indicators signal that up move is beginning to continue
Comment:
Don't believe market is heading to 4.0x range now. Past month's actions leads me to believe that a high has been put in and the market is now heading lower. Looking at the daily renko/.05 blksz, price has broken through the 50/100/200EMA's with the 20MA and 50EMA now pointing down. TSI has broken below 0 and has challenged it twice to be rejected. The ADX is now starting to turn up with the -DI of DMI. I believe market is now heading lower with potential targets of: 2.85x/ 2.75x/2.65x.
Comment:
Daily candlestick and 3min renko look like they're ready to turn lower with daily candle breaking out of consolidation to downside based on ADX. I may try OTM option on this market looking for lower target.