Loading ...BOIL…Decisions, decisions…
BOIL has 1/2 gap fill tagged…
Do I take a small KOLD position now? OR do I wait for the price action of KOLD to cross the 20 EMA?
Kamikazes take a small bite and cost average or conservative traders wait…
You decide…Because I have to admit, I do not own a crystal ball…
EOD…
Lesson: 1/2 Gap Fill…
Disclosure: I started a position in KOLD
EOD NG Chart…
This chart was not available till after the close on stockcharts.com. Upon inspection, I will keep my short on a VERY short leash. NG is breaking out into a “thin zone”. I did not realize till after taking my KOLD position. A better strategy would be to trade with the trend; thus, buy on pullbacks. One reason, I need to get on tradingview.com and setup some real time charts for WTIC and NG.
BOIL Daily…
Per this daily chart, an exhaustion candle occurred today. The problem with trading these ETFs is the lack of “direct” connection to the actual NG price. The investment seeks results for a single day that match 2x the daily performance of the Bloomberg Natural Gas SubindexSM. The manager intends to meet its investment objective by taking long or short positions in natural gas futures contracts. Nevertheless, it is what it is…
Long DGAZ from yesterday Eagle, hit daily overhead resistance and channel(s) on nat gas future. Thanks for all your insights.
That makes me feel a little better knowing that I have company of very good traders seeing the same a I am seeing, or maybe it is just a case of misery enjoys company.
What are the implications of the inventory report? I was playing NG last year and it seemed when the cold weather hit prices would drop so the market seemed to be leading on anticipation and then selling the event. Just wondering what you seasoned veterans experience is with this volatile monster.
Randy, far from a seasoned professional with NG. Trying to intellectually reason this trade is futile. I use mainly technicals and sentiment when trading NG. Of course, weather extremes are bullish for NG. Bullish sentiment is currently at 70%, so from a historical perspective, though high, still is bullish before a significant top. Some “experts” are calling for $4.20 before this top; though, I try to avoid target projections and focus on the charts. I do know, NG when parabolic has the potential for massive runs. So buying on the dip makes more sense than going short now, until the trend changes…I was long, should have stayed long. Going short in a parabolic run is not smart, wait for the trend change. ST it’s very overbought.