After hitting a 52-week just above a key resistance this morning, the Natural Gas Jan. futures reversed 5 percent to close at almost the low the of day in after hours trading.
Note today’s outside day or bearish engulfing candlestick on the chart below. After two two days of long wicks on the candlesticks and a stunning 47 percent move higher since November 9th, can there be a better short set up, we ask?
Nattie is one difficult beast to ride and trade and the trade needs to monitored carefully. Your trading pure jet fuel here, folks.
We don’t know where the price will be tomorrow. There could be a huge draw on the EIA data or temps could drop to 75 below in Chicago, or, whatever. But risk/reward screams, “go short, young man.” If you can make money shorting this chart, we think you never will.
Always with a stop!