Natural gas (UNG) actually looks like it wants to go higher. Deep downtrend, but outside day last week on big volume with close to the upside,and today some follow through but now bumping against the 20-DMA. This sucker has been hammered.
Natural gas (UNG) actually looks like it wants to go higher. Deep downtrend, but outside day last week on big volume with close to the upside,and today some follow through but now bumping against the 20-DMA. This sucker has been hammered.
-- Tom | My Trades
Natural Gas Rigs Shutting Means Prices May Double
March 16 (Bloomberg) -- Natural gas drillers from Devon Energy Corp. to XTO Energy Inc. are idling rigs at the fastest pace since 2002, setting the stage for this year’s worst commodity to almost double as supplies drop faster than demand. More
-- Tom | My Trades
I was reading that today too, may take a harder look in the morning. Maybe still a bit early from other things I've been reading? The outside day signal tho is a weighty consideration in favor of jumping in tho. thanks for pointing that one out, Tom.
Natural Gas historically tends to bottom towards the end of winter and I'm guessing it's a sell the news type event. Accumulate it steadily as the weather gets nicer.
How about this as a play guys: PXJ Powershares Dynamic Oil and Gas Services.
"Don't let your highs get too high and don't let your lows get too low." Bullitt’s Market Blog
Look at that, PXJ up some 30% since mid March. Just my luck, I didn't act on it and it's off to the races. It does look to be sitting on good support at 13.
Any thoughts on UNG? I'm thinking that ETF will continue to get pounded as long as contango is an issue.
"Don't let your highs get too high and don't let your lows get too low." Bullitt’s Market Blog
I didn't end up buying it either. I lived in oil country for a lot of years. And the more I thought about it the more I decided the industry is too weird for me. Now I keep hearing that OIH is the next big thing. But I'm going to leave that one alone too. Contango is just one of many things that can go wrong in the oil industry.
Lady
If you think education is expensive, try ignorance. - Derek Bok
Bullitt, IMO NatGas has a lot of variables at this point, huge world supply-LNG very nearly cheaper than domestic shale production at this point, despite tech developments here and huge new discoveries stateside-LNG coming in from overseas-to every port that will let the tankers come in.
Believe me, we're dealing with the LNG tanker port issue here in the NW and it is probably coming, despite resistance. I think it's way more than contango looking out into the future. I keep looking at that UNG slide and the LNG competition is holding me back from jumping in the deep end, darn it.
My ATN that I sold 2/3 of this past week is domestic oil and gas both but the volume this past week looked like serious manipulation, not to mention price topped out at the 200MA Friday and stopped. Glad I took some profits before the manipulators jerked the rug.
Thanks for your thoughts, you two. I'm just trying to make some sense of UNG getting pummeled day after day. I mean, the story is there for gains, but we all know how 'story stocks' go.
Lady, maybe you're not so contrarian as you think.
"Don't let your highs get too high and don't let your lows get too low." Bullitt’s Market Blog