I wanted to give a quick update to my long call spread on UNG. UNG popped over 3% today after a volatile session and is showing signs of a bullish breakout. Attached is an updated chart that shows a nice breakout above an upper channel of resistance, a retest of that resistance which became support, then a resumption higher. Price has paused at the 38% Fibonacci level but will continue higher toward the 50% Fibonacci level ($7.14) at a minimum. The price action I described around the upper channel line is indicative of a breakout. So although that would most likely mean my wave count is wrong and that wave 5 is complete, it still means higher levels in the near future.
Unfortunately the way this spread was setup, the sooner that happens the smaller the profit. But, whenever price hits my target, around $7.10, I will take profits even if they will be fairly small.
Please like this post :-)
PLEASE NOTE: THIS IS AN ELLIOTT WAVE BLOG EXPRESSING AN OPINION AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. TRADE AT YOUR OWN RISK.