Natural Gas Technical Analysis

The natural gas market has fallen again during, I would say thin holiday trading on Thursday as the Americans were away for Independence Day. That being said, we are now below the support and we have formed a large M pattern. At this point, we could send the market down to the $2 level, so be cognizant of this. I’m a buyer of this, but not here. Let it fall. Typically speaking, late in the summer, we start to pick up momentum again due to the autumn coming. $2, of course, is a large round psychologically significant figure. And as you know, I’ve been long of this market for some time.

I went ahead and pulled the ripcord today, so now I’m flat. I made some money on the ETF. Didn’t make anywhere near as much as I could, but I wanted to give it as much room as I could. At this point, the closer we get to $2, the more likely I will be to start building up an ETF position again, but ETF because it doesn’t have leverage. That way I can hang on to this for a while. I don’t care what happens day to day. It’s very stress-free.