With retail traders anxious to find a bottom in natural gas prices, let's take a look at what our trading tols are telling us about natural gas ETF UNG.
"Smart Scan Chart Analysis" is showing some near term rallying power. However, this market remains in the confines of a longer term downtrend that should be traded with extremely tight money management stops.
Based on a pre defined weighted trend formula for chart analysis, UNG scored -75 on a scale from -100 (strong downtrend) to +100 (strong uptrend):
+10....Last Hour Close Above 5 Hour Moving Avg
+15....New 3 Day High on Friday
-20....Last Price Below 20 Day Moving Avg
-25....New 3 Week Low,Week Ending Sept 4th
-30....New 3 Month Low in September
Here is a preview of our MarketClub Trade Triangle Chart Analysis and Smart Scan technology