I have opined on my bullish perspective on natural gas for almost a year. I recommend (if you do not currently follow my analysis) to read previous articles on the subject. For those who read my work I will state, without equivocation, that the trade of the year and maybe even next year is setting up as we speak. Let’s review.
Short Term
We have either bottomed or will bottom very soon in a larger degree wave II. If you are not a practitioner of Elliott Wave, that means we’re about to enter the longest and most consistent trend trade within an impulse wave. A third wave. However in the very short term we are currently working on a bottom of the C wave of wave II. The wave II bottom is confirmed ONLY when price advances over $3.431. However we will get signs in advance that will support prices traveling to that region and beyond. The first sign is a breach of $3.095. See chart below.
I will update longer range charts throughout the day.
Disclosure: Small long position and looking to add to that position if we get one more low in the mid $2.80 region.