Natural Gas: This, Too, Shall Pass

After the natural gas inventory report this morning, natty is continuing the surge it has enjoyed dating back the last few weeks. We know natty has been a tough cookie to bottom-call since 2008, seemingly mired in a bear market with no expiration date. 

However, markets are markets. And this bear, too, shall pass. 

On the updated UNG (ETF for natural gas) weekly chart, below, note a tangible change in character--UNG is actually holding above its 20-period weekly moving average (orange line) with more confidence than at any point in at least a year, and much longer than that if UNG holds over $7 (and now preferably over $7.50) light of today's in the coming weeks, too. 

Moreover, natty is playing "hard to get," meaning it is not offering up easy new long entry points, which is strikingly similar to the rally in the DBA (ETF for soft commodities) we have profiled and played for Members of late, typically another sign of a new bullish trend.