I expected Natural Gas to bounce back as soon as Monday, but what we saw at Monday's open, was the bid on $UNG lowered to just below the 20 day moving average. Obvious manipulation, and a good final exit point for me.
$UNG - I imagine Natural Gas is going to trade into a little topping pattern. Trend remains up, but seeing lots of whipsawing action. I'll be looking to get short again, but maybe not until next month, at this rate.
Short term live NatGas chart looked like this, but instead of selling off, it just kind of held this level all day. Feels like a bear trap to me.
Oil - First Government Sachs was calling for $90 oil, and that was followed by Citigoup on Monday - same target $90. You don't suppose Citi is trading commodities with their customers deposit money? "Citibank is the consumer division of financial services multinational Citigroup"
$WTI crude could actually go much higher than $90, but for now it's only back-testing the lower end of a broken channel. If it were to crawl-back into the channel, it could be off to the races again, but that's a big "IF".
Brent Crude has traded into what looks like a broadening top pattern.
Speaking of broadening top patterns
Of course Energy stocks can lead the way down, ahead of the actual underlying commodity, and that's typically the case....
Be sure to check out Part I of today's update, and follow my twitter homepage for the latest market developments, and up to the minute charts.
Take Care, AA
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