Total Pageviews

Thursday, July 19, 2012

Nat Gas About To Pop




Nat gas (UNG) has recently caught my attention.  While it was in a significant downtrend for the better part of a year it has recently been consolidating right under the $20 level.  A look at the daily chart shows a long move down and then recently a sideways consolidation pattern.  While this is typically a continuation pattern I am beginning to believe think that the next move may be up rather than an extension of the previous down trend.
  • Over the last two weeks there been significant support above $18 and significant volume.
  • The $20/$20.50 level has been tested multiple times and the more tests it undertakes the more likely it is to break.
  • Both the 20-day and 50-day moving averages have turned upwards and UNG is trading above both

No comments:

Post a Comment