UNG Natural Gas Weekly Chart Oversold Falling Wedge Positive Divergence

Natural gas is crushed to multi-decade lows. They are giving gas away on street corners. It is funny that here in Pennsylvania, USA, a decade and two ago natural gas for heating was through the roof. People could not eat if they wanted to keep their pipes from freezing. Now gas is so cheap you can leave the windows cracked open with the furnace on full blast. President Obama should be ashamed of himself for not boosting the natural gas vehicle industry; there is no excuse; his lack of action has seriously hurt the United States and prohibited many people that need jobs from working. Natural gas vehicles have been used for decades. Maybe a new president will recognize a huge growth industry when he or she sees it.

The green lines show a falling wedge pattern and universal positive divergence wanting price to stabilize and recover. Price has tagged the lower band boundary and will need to move back up to the middle band. The collapse over the last month is dramatic and doing serious technical damage. It is serious downside selling. Volume is high providing at least a whiff of capitulatory-style selling. This momo makes it hard for price to stop on a dime.

Price may begin to base and stumble along sideways and is long overdue for a recovery move higher. Keystone started a small long position in UNG. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.