The 29-Cent Genius Trade

The more I stare at the chart of natural gas, the more bullish it looks to me. [Jeff Clark's Market Minute]( The 29-Cent Genius Trade By Jeff Clark, editor, Market Minute The more I stare at the chart of natural gas, the more bullish it looks to me. Granted, it has looked bullish to me for the past two months (you can read the previous essays [here]( and [here](. And, natural gas has rallied from $2.49 to $2.78 since we looked at it back in June. But, let’s face it, nobody is going to write into Market Minute feedback and talk about what a genius I am for helping them make 29 cents on the “widow maker” trade. In fact, based on the feedback from my prior natural gas essays, folks are more inclined to question my intelligence. Like this gentleman, who responded to last month’s essay… “You clearly have no understanding of economics, or the laws of supply and demand when it comes to commodities. We have a glut of natural gas in the United States. The price will stay low for a very long time. Not everything can be explained by your charts.” Now, I don’t want to appear argumentative. But, I do actually have a degree in economics. Though, it’s from a California university. So, grain of salt on that one. And, while it’s true that we do have a record high inventory of natural gas, as my friend – and commodity expert – Rick Rule is fond of saying, the cure for low prices for a commodity is low prices. The gentleman is right, however, that not everything can be explained by the charts. Recommended Link [Final stage before digital money]( [image]( The end is near… Our financial system is now being transformed in a way that would’ve been unthinkable just a few years ago. And almost nobody is prepared for the chaos that follows. According to Bank of America, this overhaul is imminent – And Dr. Nomi Prins says the final stage started days ago with the rollout of the FedNow system. To show you everything you need to know about the FedNow system – and to help you prepare – Dr. Prins has recorded a free presentation with all the details. It’s controversial, but Nomi’s interview is a must-watch for anyone with more than $2,500 in an American bank or retirement fund. [Click here to find out what you need to do to prepare for this historic transformation.]( -- But, outside of a crystal ball, a chart is arguably the best illustration of the psychology affecting the current price of a stock or asset. The problem, though, is that – like art – a chart is subject to interpretation. Two people can look at the same chart. And one can see it as bearish while the other has a bullish interpretation. But, if you look at the following chart of natural gas and see it as bearish, then you’re just nuts. Take a look… [(Click here to expand image)]( I’ve drawn the setup a bit differently than we showed it last month. But, it remains bullish. After bottoming at $2 in early April, the price of natural gas has been grinding higher – making a series of higher lows on the chart and hitting resistance multiple times near the $2.80 level. This action has formed an ascending triangle pattern – which usually resolves with a breakout to the upside. All of the various moving average lines are coiled together, building energy to fuel the next big move. And, the moving averages are in a bullish configuration – with the 9-day EMA above the 20-day EMA, and the 20-day EMA above the 50-day MA. So, as long as natural gas doesn’t fall below the August low near $2.45, the odds favor a bullish move. Free Trading Resources Have you checked out Jeff's free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career – at zero cost to you. Just [click here]( to check it out. Natural gas has been in this low-level trading range for so long, that there’s plenty of pent-up energy to fuel a move up towards $5. And, that move could happen just as fast as the decline from mid-December to mid-February. In other words, if natural gas can make a decisive breakout above $2.80, then there’s a good chance it could run as high as $5 over the next two months. I could be wrong, of course. A breakdown below $2.45 changes the picture from bullish to bearish. But, in its current pattern, the “widow maker” looks quite bullish to me. Best regards & good trading, [Signature] Jeff Clark READER MAILBAG Do you share a similar sentiment regarding natural gas? Feel free to write in to feedback@jeffclarktrader.com. IN CASE YOU MISSED IT… [Warning: Sell all your stocks but this one! Ticker revealed]( Jeff Clark has been trading stocks for nearly 40 years. He knows the market. He predicted the crashes of 2008, 2020, and 2022. He’s helped his readers avoid huge losses… And still had 13 gains last year alone. He’s done it by avoiding 99.9% of all stocks… Only trading this one, [revealed in this video below.]( Now Jeff is helping his 23-year-old son overcome his huge losses in crypto and tech stocks… By using this same method. [Watch how he plans to win back all of his son’s losses with this one ticker revealed here.]( [image]( [Jeff Clark's Market Minute]( Jeff Clark Trader 55 NE 5th Avenue, Delray Beach, FL 33483 [www.jeffclarktrader.com]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. To stop receiving these emails, click [here](. Jeff Clark Trader welcomes your feedback and questions. But please note: The law prohibits us from giving personalized advice. 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