Saturday, March 20, 2010

ElliottWaveTechnician March 2010 Investment Newsletter

Here is an extract of our investment newsletter published 20th of March 2010 covering natural gas.

Natural Gas
Here is a daily chart of natural gas.


Currently natural gas is in a wave 2 correction. Wave 2 consists of an "a","b" and "c", as shown in the chart where wave "a" and "b" are completed.

We are currently in a "c" wave down which has a potential target of USD 3.50 - $4 completing wave 2. There is good support at USD 3.50 and a weaker support just below USD 4 (both support areas are marked with a blue dotted line on the chart).

Here is a weekly chart of natural gas:

A 3 year weekly chart gives perspective of the decline in wave "C" of "X" over the last couple of years. It looks like a relatively clear 5 wave decline.

Here is a weekly chart of UNG as well.

UNG simulates the natural gas price. UNG is very oversold  and some positive divergences are developing on the technical indicators.

There are some conserns regarding UNG, see our Special Report Natural Gas for details.

See our updated Special Natural Gas Report from early March 2010 for a more detailed analysis.
Geir Solem
Copyright (C) 2010 all rights reserved

No comments:

Post a Comment