Thursday, April 22, 2010

United States Natural Gas Fund (UNG) Chart Analysis

Quick analysis on UNG:
After a ~4 months of 30% drop , UNG is forming a descending symmetrical triangle (with tipping point below middle line) with PPO rising which is a bullish sign.  Based on textbook definition of symmetrical triangle, price breakout of symmetrical triangle happens between about 1/2 and 3/4 of triangle's entire length, if that's true, price should break out (up or down) around late May.

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