NatGas overly long, inventory draws, high demand, but new supply coming - check buy in prices
natgas to double within the next 18 months; stop at 2.6 you're welcome.
Trading between the descending trend lines, it appears low risk to buy NATGAS or UGAZ here at the lower trend line. Look for higher prices going forward.
Traders, Natural Gas has bounced from $1.574 since 03.10.2016 and developed into a five-wave sequence terminating at $3.846 exactly where fib price measurements were converging, highlighting the end of the impulsive wave. Measuring the internal waves of this sequence, it turns out that its fifth wave is extended. That can be confirmed even from the ensuing (a) –...
Everything mentioned in the chart Best of luck :)
NATGAS has has both a strong local and general double bottom and is looking to retest 3.0-3.1 and higher before it sees 2.5 again. Strong gap up over weekend was very predictable as is evidenced from my idea last week. With both strong fundamentals (bullish report) and strong technicals (respected double bottoms) shorts would be wise to wait and watch for a...
Continuation from my analysis here: Reversal formation is getting more obvious now. A bull flag pattern is observed on 4H timeframe. I'm expecting the price to fall down 1 more time before breaking the flag channel, and possibly heading towards $2.8 - $2.83 zone. The previous lower low has been broken and I think we are in a good course for uptrend.
Notice how Natgas comes up to the Yellow resistance line from below and is being rejected there. This is a classical bearish behavior. Any bounce to the Yellow or even better to the Red Line should be shorted currently (December 2017)
More downside is very likely, following a possible shallow bounce. $UNG $UGAZ $DGAZ
I expect the final drop to $2.60 area and the winter rally to $3.20. I opened an $UGAZ position at $6.12 with Limit Buy Orders at $5.90. Play safe
In my last idea I sugggested try to get in the trade somehow because the consolidation is over sooner or later and we are breaking out. Though we couldn't catch the exact bottom and the position got risky as we broke down of the range all who were able to hold through the panic are in profit today. There was an undercut low with a false breakdown of the range but...
Just an idea. NATGAS is may be overbought in the previous week so I believe it will drop in the next 1-5 days followed by a strong BUY!
All Trade Parameters shown on the chart. Daily Short Setup covered by Weekly and Monthly Supply Zone. Gap Fill in Futures. Short is supported by bearish Natural Gas seasonality from November until February.
On this weekly chart, I'm looking for 2 more indicators: 1. Weekly close under 100 MA. 2. RSI Break below 45ish level. We are targeting RSI running below 30 for the trade.