{"id":22151,"date":"2024-09-13T07:30:25","date_gmt":"2024-09-13T11:30:25","guid":{"rendered":"https:\/\/www.jeffclarktrader.com\/?p=22151"},"modified":"2024-09-13T07:30:25","modified_gmt":"2024-09-13T11:30:25","slug":"im-sticking-with-this-widow-maker-trade","status":"publish","type":"post","link":"https:\/\/jeffclarktrader.com\/market-minute\/im-sticking-with-this-widow-maker-trade\/","title":{"rendered":"I\u2019m Sticking With This \u201cWidow Maker\u201d Trade"},"content":{"rendered":"

The typical summertime rally in natural gas didn’t happen this year.<\/p>\n

Natural gas closed at $2.27 on Wednesday. That’s the same price at which it was trading in mid-May. So, many of my trader friends are moving on. They’re pulling their money out of the “widow maker” trade and heading off to other sectors that have a stronger tendency to rally in the final months of the year.<\/p>\n

But, not me. I’m sticking with natural gas – because the setup looks quite bullish.<\/p>\n

Regular readers may recall, I bought natural gas in mid-July<\/a> – noting that it’s called the “widow maker” because the price action is erratic and doesn’t seem to conform to any rules of fundamental or technical analysis.<\/p>\n

Natural gas is trading about 10% higher from where I bought it – which is a respectable gain for less than two months.<\/p>\n

But, it looks to me like it’s headed much higher.<\/p>\n

Take a look at this chart…<\/p>\n

\"chart\"<\/p>\n

(Click here to expand image)<\/a><\/p>\n

Natural gas has been quietly rallying over the past few weeks. It is now trading above all of its various moving averages (the squiggly, multicolored lines on the chart).<\/p>\n

And, those moving averages are now coiled together – which should provide the energy to fuel a large move in one direction or the other over the next few weeks.<\/p>\n

The chart itself has morphed into an ascending triangle formation. This is a bullish pattern that develops as an asset makes a series of higher lows while rallying and bumping into the same resistance level multiple times.<\/p>\n

Eventually, that resistance breaks and the asset moves higher.<\/p>\n\n\n\n
\n

Free Trading Resources<\/strong><\/p>\n

Have you checked out Jeff’s free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career \u2013 at zero cost to you. Just click here<\/a> to check it out.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

If that happens with natural gas, then the minimum target for this pattern is near $2.60. That would be better than a 10% gain from the current price. And, since the chart is approaching the apex of the ascending triangle, that rally should start soon.<\/p>\n

Nothing is guaranteed, of course. We’re talking about natural gas – which has earned its reputation as the widow maker.<\/p>\n

But, this setup looks bullish to me, so I’m sticking with the trade.<\/p>\n

Best regards and good trading,<\/p>\n

\"Signature\"<\/p>\n

Jeff Clark
\nEditor, Market Minute<\/em><\/p>\n

P.S.<\/strong> There are a lot of setups coming together, especially in an election year. You can get access to more of them right here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The typical summertime rally in natural gas didn\u2019t happen this year. <\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"ep_exclude_from_search":false,"service":"","footnotes":""},"categories":[1],"tags":[],"publication":[10],"person":[7],"newsletter-type":[],"ticker":[],"class_list":["post-22151","post","type-post","status-publish","format-standard","hentry","category-market-minute","publication-market-minute","person-jeff-clark"],"acf":[],"ai_tts_audio_outdated":false,"ai_tts_legacy_post":false,"_links":{"self":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/22151","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/comments?post=22151"}],"version-history":[{"count":0,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/22151\/revisions"}],"wp:attachment":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/media?parent=22151"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/categories?post=22151"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/tags?post=22151"},{"taxonomy":"publication","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/publication?post=22151"},{"taxonomy":"person","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/person?post=22151"},{"taxonomy":"newsletter-type","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/newsletter-type?post=22151"},{"taxonomy":"ticker","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/ticker?post=22151"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}