Morning Update Jan 23, 2020

Well… weather models are back to teasing with forecasts of cold coming, how much and how long, or how true for that matter? No idea. This should still have a slight influence on pricing this morning. Emphasis on slight. Mostly traders taking a small chance I would imagine. It is EIA Thursday, with what is expected to be another relatively weak draw. Production created a new short term low of sorts, something to have patience with.

Anyway; on to the chart. I have a slight break from a wedge on 1 hour. Not sure why I was looking at H20, but that’s what the ETFs are in right now so why not. Zooming out there may be a inverted head and shoulders forming. $2.15 for H would certainly be a nice target. I’m not good at targets, so don’t take my word for it.

NGH20 on 1hr chart at

Not a lot has changed for me, I’m holding tight with my 80% holding in UNG. Same plan as usual. I will sell 38% of my UNG holdings at my average of $15.85; I have a limit order in now to sell. If sold, I will still be holding 50% of my funds in UNG. A $15.85 price for UNG is close to $2.03 for the price of natgas. After a while of making these losing trades, I decided to always reduce at my average by some amount.

If the price moves higher past my average, I will continue to hold 50% for a while longer unless there is a sharp move up. There should be time to react if that happens. As far as buying, $14.4 will most likely not come this week unless today is horrible. Again, plenty of time to make a decision on that. Good luck.


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