Hi Trades,
Thanks for the chart/comments. Gold also earlier...
Today escapes me. I took the pre report estimates to be bearish. Price dipped to the day's low of 2.34 and came right back up before the 10:30 report and then stayed "boringly quiet" for a bit before climbing on up !!!
Don't want to bore you with this stuff but there is more going on than meets the eye, I think.
None of the sudden "whipsaw" that is customary. It seems like the players are having trouble deciding just what to do !!!
I guess we'll see who wins !! It is a "long way to 2.96" !! Right now the "seasonals" seem to be winning as consumption has been down (warm weather), and no sign of production falling off.
In fact Exxon and Royal Dutch Shell have come out and said they do not plan to cut production. They are in fact, working on getting ethylene production ramped up now that Ng prices are down and expected to stay down "enough" to make this more profitable that doing it overseas. [Maybe they are also on a "shopping trip" for the little guys. !!].
CHK threw out it's numbers on cuts but so far no evidence of follow through.
So, Price really ought to be coming down, but it isn't/hasn't so far !!!
Follow the Charts !!!!!!!!
I think Ng will see a $1 handle before it sees 2.96 and I do not think 3.5 is in the cards for 2012 barring some "unforeseeable" event.
Thanks again,
Lee