05/08/2014 – Natural Gas

Issued: 05/06/2014

June natural gas:

1. Continued daily close in June natural gas below $480 (and worst-case $483) will indicate new short entry for a tradable multi-day decline and test/attempt at $466/$65 (or lower) into late this week / early next (week of May 12). Today’s June natural gas session closed at $478.60.

2. Will message any new entry based upon the above in tomorrow’s session if the market confirms.

David Williams

Issued: 05/07/2014

June natural gas:

1. Today’s June natural gas advanced, tested and failed at the $483 level noted in the previous update (today’s session high, $482.70, so far).

2. Self-directed shorts based upon the above should take partial exit at current prices (current price, $476.60). Further exit should be taken at/near $473.50.

3. Initial protective buy stop should be placed at $483.20. This stop will be lowered as the market continues to confirm.

4. Although substantially lower prices remain possible including $466/$65 noted in yesterday’s (May 6) update, it is suggested that only a small portion of your position is held for the possible test/attempt at $466/$65. Will update.

David Williams

Issued: 05/07/2014

June natural gas:

1. Today’s June natural gas has continued on it’s forecast decline from $483 and completed the second downside profit target at $473.50 (today’s session low, $470.60, so far).

2. Further decline in June natural gas remains possible, including a test/attempt at $466/$65 noted in the original May 6 update. Only your smallest remaining position should be in play for this target.

3. Protective buy stop should be lowered now to $479. This stop will continue to be moved lower as the market continues to confirm.

David Williams

Issued: 05/08/2014

June natural gas:

1. Our previous May 6 update forecast a decline in June natural gas from $483 to $473.50, then $466/$65 final downside target.

2. Today’s natural gas completed the $466/$65 final downside target and lower (today’s session low, $458.70, so far). This completes the forecast/trade.

3. Daily closes in June natural gas above $458.30 are the stronger position, below $458.30 the weaker position. Will update.

David Williams