$NATGAS $UNG setting up for a monster move
Bollinger Bands are the tightest since May 2021 on the daily chart. Weekly BBs are the tightest since June 2021. When compression gets this extreme, you typically see an explosive breakout in one direction.
Key technical level: blue trend line acting as potential support. If bulls can hold and bounce here into year-end, this could be a clean swing trade setup.
Seasonality is on your side:
- September: 11 green closes out of last 17 years
- October: 11 green closes out of last 17 years
- Some of those green months were absolutely massive
Important note on $UNG: This is NOT a long-term hold. Contango and decay will eat you alive. But for a short-term swing trade into Sept/Oct? Could be interesting.
Watching how this plays out over the next 6-8 weeks. Tight bands + seasonal tailwinds + trend line support = potential asymmetric setup if bulls can defend current levels.
Bollinger Bands are the tightest since May 2021 on the daily chart. Weekly BBs are the tightest since June 2021. When compression gets this extreme, you typically see an explosive breakout in one direction.
Key technical level: blue trend line acting as potential support. If bulls can hold and bounce here into year-end, this could be a clean swing trade setup.
Seasonality is on your side:
- September: 11 green closes out of last 17 years
- October: 11 green closes out of last 17 years
- Some of those green months were absolutely massive
Important note on $UNG: This is NOT a long-term hold. Contango and decay will eat you alive. But for a short-term swing trade into Sept/Oct? Could be interesting.
Watching how this plays out over the next 6-8 weeks. Tight bands + seasonal tailwinds + trend line support = potential asymmetric setup if bulls can defend current levels.
