Natural Gas - Trendline Break
Today we saw commodities come under selling pressure but what did Natural Gas do? It rallied! Yes this market showed relative strength on a day where most commodities fell out of bed. You'll notice in the above chart that UNG has taken out its major downtrend line which began in July of 2008. I'm wondering if last month's collapse was the washout that this market needed before it could rally. Looks tempting doesn't it!
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1 comment:
Hi,
regarding the UNG, if you drew the trendline in the first days of Aug, you would notice the same, on the first day possible breakout emerged. And than again down.
Also, try to draw a trendline since may, which is not so step, than we are comfortably under it. But nonethless, I found the price of Nat gas very strong recently.
Btw, love your analysis, they are great.
regards
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