With December 2014’s closing price, UNG completed a Monthly ‘Aggressive Sequential’ Buy signal, as mentioned in my January 4th Article.
This week, UNG is completing Weekly and Daily Buy signals.
Daily ‘Aggressive Sequential’ Buy completed yesterday in coordination with Weekly signal (cell AE1411).
I believe the downtrend in UNG (and thus Natural gas) price is very nearly over. The winter storm that was supposed to cripple the Northeast did not materialize, and natural gas responded with what I think is its last panic price fall down. The downtrend has been exhausted on 3 timeframes, it appears we’re reaching the point where ‘there’s no one left to sell’. Short interest fell 29% last month as shorts are taking their profits.
Rather than purchase the UNG etf, I’m looking into energy MLP’s which will benefit from higher natural gas prices.