Quick Look at the Upcoming Week Dec 27-30
Dec 26, 2016 Trading Blog
Looking back at last week’s news, everything still looks good for the XLE to keep running. As long as it holds the 76.00 mark, most of my trading will be from the long side.
The API number as -4.1 million on Tuesday, but the EIA was a build of +2.4 million. The EIA natural gas storage number was a good -209 Bcf. The Rig count was +16, adding 13 for oil and 3 for gas.
My main watch this week is going to be natural gas stocks. COG, RRC, AR, EQT, SWN and RICE. My favorite intraday traders are COG and RRC. It’s Monday night and natural gas is already showing a 2.8% jump. The 8 day ema comes in at 34.64 on RRC and that could be a good spot to get long on any weak open. COG has the 8ema coming in at 22.50 for some support long.
WMB seems to be getting a good boost on the strong natural gas numbers and might be setting up for a breakout of that 31.75 level. You have to like the chart if you are a breakout player.
On the E&P side, I’m watching DVN for a pullback to that 46 area for a long try. It had that strong gap out back around December 1 and hasn’t really had enough selling pressure to close that gap. It might make one more try at the lows before taking off. It’s nice to have that support under there if things get ugly.
I also like CLR and I think there might be a better setup on it that provides a little tighter stop and a better risk/reward situation than the DVN trade above. Might be able to play this one on a weak open tomorrow off the 52.25 area for a long with a very tight stop .
Also, the EIA number comes out on Thursday this week rather than Wednesday. Good luck tomorrow and I’ll post my entries on the Twitter feed.