UNG Follow Up

Our last UNG post was Feb. 10th, UNG Update.

In that update, I suspected we had just seen a stop run (head fake) in UNG,

UNG daily chart stop run/head fake below the $14 level

THERE IS SOME RESISTANCE LOCALLY AT THIS LEVEL, BUT PROBABILITIES FAVOR AN UPSIDE MOVE.  REMEMBER THE EIA NAT. GAS INVENTORIES ARE TOMORROW MORNING.

 On a 60 min chart, the shakeout would be below the yellow trendline which is also where the 60 min chart leads positive, in other words it looks like shares shaken out were accumulated.

 A closer view with a 15 min chart, but the size of the divegrence reaching a 60 min chart is really the most impressive.

Very short term, the 3 min chart is positive at the lows and in line since with some local resistance, all in all the probabilities lay with the 60 min chart, thus UNG should be able to break above local resistance, we'll see if the EIA is the catalyst tomorrow morning.