Natural gas rallied significantly, 13% from Friday close to Monday high. Because of that a pullback is not surprising. The consolidation is not as tight as I would have liked to see. The low of the consolidation can be used as a potential stop to lock in gains. Red and blue lines we'll keep an eye on once we see direction tomorrow.
The gap should be considered but not given a whole lot of thought, gaps sometimes fill and sometimes don't but they can have a affect because so many people talk about them.
So far I'll staying with the original price targets because the consolidation wasn't that tight but we must remember that the bulls have been explosive when they show up. This can quickly move to the upside as we saw this morning.
The gap should be considered but not given a whole lot of thought, gaps sometimes fill and sometimes don't but they can have a affect because so many people talk about them.
So far I'll staying with the original price targets because the consolidation wasn't that tight but we must remember that the bulls have been explosive when they show up. This can quickly move to the upside as we saw this morning.
