NIce am puts $$ :)

Thanks for the reply. I should have been more specific. On the daily charts UNG is in divergent low territory while /NG still needs to drop 13% to be in a lower low.

Depends on how one definted constructive as well as what time frame they are referring to. The 60m chart of /NG looks constructive but from a potential trend reversal/trade setup perspective, with a buy signal to come on a break above this 60m bullish falling wedge (i.e.- the downtrend line that I covered in the recent video highlighting it along with UNG).

There’s also a constructive chart on something that is clearly in an uptrend & with little to no evidence of a current or impending reversal. The 60m chart of /NG looks constructive to me in the sense of the former (setting up for a reversal) vs. the latter. Here it is…

Agreed Geo….Market’s not going down much until next year…mid term election year.

I know that natural gas is a widow maker and wild swings are common, but why doesn’t UNG correlate more with natural gas futures?

UNG’s chart was looking favorable so I took a position recently. On the drop today I took a look at /NG and the chart wasn’t nearly as constructive. Honestly, I wouldn’t have taken the trade had I reviewed the futures.

In the future, is it better to wait for both the futures and UNG charts to align before placing a trade?

Thx for pointing that out. Definitely something to monitor as well since that last spike high rattled global equity markets. The complacency is so thick right now you can cut it with a knife: US & Japanese long-bond yields within spitting distance of new multi-decade highs & while they may or may not punch up thru them, if they do, that will most likely roil global equities.