UNG
$UNG $NGAS Its that timeSeasonal Play ..o durr, right ? it gets cold people need cheap heating with Natgas at 3.65 its a bargain right now. IMO , I almost feel like todays 19.10 and lower was the perfect entry and I chickened out,
options are cheap right now,
Nov 14 22.00 calls are trading at .16 just yesterday they were at .21 so $5 cheaper,
DEC 14 25 calls are trading at .24 slightly higher than yesterday go figure
How ever looking at this chart i set up there the trend channel that i set up with a few touches, but at the beginning of Nov 2013 there a clear signal IMHO !!
HAPPY Trading hoping to make these my last few trades of 2014,
The SPY and DIA are so unclear right now
The Price is Right for Natural GasFor detailed analysis, please see our blog post published on 8/10/14 and feel free to post a comment there: www.syncubate.com
As can be seen from the daily chart, UNG has fallen from just over $26 a share near the end of June to just under $22 a share at the close of trading on Friday. From the high point of this trending move lower, UNG has had a nearly 20% drop in price.
The ADX line has since topped out and is dropping on the daily time frame, indicating that the trending move lower may have abated for the time being. This is further confirmed by the recent spike of +DMI above -DMI, as the bulls begin to stand their ground.
The MACD has also crossed above the signal line, which is another sign that a push higher in price by the bulls may be impending at this point.
UNG - Bullish Case for the Energy SectorUNG has been consolidating for a few weeks long, which is normal after an explosive move to the upside. He have made higher highs and as long as we stay above 24.29, we stay bullish. A bullish move in Natural gas will be positive for oil and gas companies, especially the ones that are more gas focused. Today was a good entry for UNG. there is also a double bottom on the weekly chart for UNG and hence my bullish thesis. Unfortunately there is not enough data to see how UNG reacted to Double bottoms. But this is the lowest low UNG has seen and im Bullish on this commodity.