A worst-case target of 2.305 first appeared here around Thanksgiving, but we should be prepared nonetheless for a bullish turn from somewhere above it, since the death rattle could be ferocious — and potentially very profitable to trade. I would suggest setting a screen alert at 2.832, since that’s where the 10-minute chart would turn impulsively bullish for the first time in ages. A B-C pullback from somewhere just above it could provide a low-risk ‘camo’ opportunity to grab a tiger by the tail. If the sketched -out trade fills, let me know in the chat room and I’ll establish a tracking position for your further guidance. _______ UPDATE (January 16): The futures were barely able to muster a dead-cat bounce on that last effort. Even so, the 2.305 will remain a good place to try bottom-fishing aggressively with our habitual penny-ante stop-loss. _______ FURTHER UPDATE (January 23): The futures have taken a hysterical, short-squeezey, Wait-Until-Dark lunge this morning that is too insane for us to seek camouflage. The fact that it has come from more than a penny below my 2.305 target is not exactly bullish, but we’ll give the move the benefit of the serious doubt nonetheless as the possible liftoff from a bear-market low. Supplies of natural gas are said to be in multiyear excess, but that could change more quickly than most “experts” imagine simply because heating oil is getting too expensive for the American middle class.
