Start of Major Bull Cycle in Natural Gas ?
Natural Gas has just finished its major bear correction ( ABC) after a major bull cycle (12345) as depicted on the chart. Most of the Fibonacci projection & retracement are holding true as per the rules (will publish it separately as a learning material). Also, after the ABC correction, there is sharp rise in the price. How do we plan an entry now?
The price seems to be in the minor 3rd wave of wave 1 of the major bull cycle. Lets wait for the price to retrace to about 38% fib levels (re-calculate 38% fib if it breaks today's high to find fresh 38% fib support) and then enter with a stop loss below 50% fib levels. We can ride it till the top of the wave 3 for quick intraday/swing trade.
It is headed for 280 & 300 levels in a very short span of time
Disclaimer: The above analysis is only for educational purpose. Please consult your financial advisor before taking any investment decision
The price seems to be in the minor 3rd wave of wave 1 of the major bull cycle. Lets wait for the price to retrace to about 38% fib levels (re-calculate 38% fib if it breaks today's high to find fresh 38% fib support) and then enter with a stop loss below 50% fib levels. We can ride it till the top of the wave 3 for quick intraday/swing trade.
It is headed for 280 & 300 levels in a very short span of time
Disclaimer: The above analysis is only for educational purpose. Please consult your financial advisor before taking any investment decision
Comment:
An improved strategy for entering would be to look at the hourly chart, measure the fib retracements of wave 2 to wave 3 (shown on chart) as soon as the price starts to decline, and then attempt to enter at the 38% Fib retracement level.
Comment:
Price is still in 3rd wave. let's wait for ABC pull back till 23-38% and then we can plan an entry
Trade active:
It appears that natural gas has finished wave 1's minor wave 4. From here on, we may refer to this as the wave 5 rally. 203 strict stop loss
Notice: Please be aware that the information provided in this analysis is intended solely for educational purposes. It is strongly advised to consult with a financial advisor before making any investment decisions. I cannot be held responsible for any financial losses that may occur
Notice: Please be aware that the information provided in this analysis is intended solely for educational purposes. It is strongly advised to consult with a financial advisor before making any investment decisions. I cannot be held responsible for any financial losses that may occur
Comment:
The stock has seen a 13% increase in just 2 days