Natural Gas Reversing or Correcting?
click on chart to enlargeFrom Thur. Dec 3,
"So if the spot month chart is currently completing a "c" of intermediate term B structure down from 5.35,
it is not a bad time to be scaling out of Jan / Feb shorts etc, esp since mo contracts are making new lows and the roll is relatively flat." Those who read this regularly know I rarely make explicit trading comments. Got lucky this time.
Reversing or Correcting? The last leg down on the Jan contract will be retraced .618 at 4.96, the spot chart .618 retrace is at 4.99, so above 5.00 and the spot high is really the next target. We will know soon if this is a reversal or correction.