Thursday, May 26, 2011

Natural Gas (NG) Bearish Number BTFD? 5/26

 After a bearish number for the natural gas storage (more than expected in storage at 105B vs expected 93B), we saw a sharp sell off. I think its is a great opportunity to BTFD and get in on this trade suggested in an earlier post. We see on the daily chart the confluence of retracements at the 4.325-4.312 range. While currently its just under this, it has held its recent uptrend's retracement. I think this holds well and we see a move back to its hights today in the 4.45-4.48 area. Everything else about this trade still looks great and the initial entry signal was a good one so far. So I've said it once and ill say it again, by that fucking dip

EDIT: just in case you are wondering, you can play NG in the stock ticket UNG (United States Natural Gas Fund) or in Direxion Daily Natural Gas Related Bull 2x Shares ETF (FCGL)

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