Natural Gas and the pop on Monday. It was cold outside!
Natural gas daily chart showing the 5.79% pop on Monday, November 17. The price of natural gas has an inverse correlation to the current temperature and short-term forecast. Sometimes the traders will go outside to verify the temperature and make their own forecast. A trader that feels cold after the trip outside will take some new long positions. Also the temperature on the trading floor or in their office can affect the market.
United States Natural Gas Fund (UNG) is one way to trade this commodity without leverage……………
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Note: Click on HOME for updated postings. This technical analysis is for educational purposes so you can learn to trade online using candlestick charts and other technical indicators including volume, moving averages and oscillators. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The author of this article may hold long or short positions in the featured stock or index.