The star of today's trading session was a United States Natural Gas Fund, LP (UNG). This commodity ETF had a notably stirring session with a kind of breakout that caught the attention of many traders.
UNG demonstrated a strong green candle with a solid body - opening at the lows and nearly closing at the highs of the day. Particularly significant was the fact that this happened on two times the relative volume, signifying a surge in trading activity.
Thanks for reading Michael Nauss CMT! Subscribe for free to receive new posts and support my work.
So, where does this leave us? It may be too soon to declare, but is it possible that natural gas is finally breaking out of its long base?
"I don't know, but I'm going to be watching it tomorrow for some continuation."
Trade Watch: CBay
Another stock that seems to be setting the stage for an interesting play is CymaBay Therapeutics Inc. CBAY 0.00%↑ . This biopharmaceutical company has shown some interesting movements recently, worth a closer look by any active trader.
CBAY 0.00%↑ has a sizable 10% short float and has been on a massive move for quite a while. It managed to break away from its $14 ground sometime ago, but has since receded back into that zone.
However, it bounced back with a Hammer candle yesterday - a candlestick pattern that typically indicates a bullish reversal - as well as an inside candle today. Thus, if we see momentum picking up and pushing the stock back toward the $15 mark, CBAY 0.00%↑ could present a promising opportunity.
"So if we can get going back towards the $15 area, I like the look of this one."
Thanks for reading Michael Nauss CMT! Subscribe for free to receive new posts and support my work.
