Velocityshares 3X Inverse Natural Gas Etn (DGAZ)

[surehands]

NG COT DATA:



Summary:

Open Interest Down
Commercial Short down a bit. Short delta 936,667 contracts.
Speculator Longs down a bit. Delta still heavily favors longs side.
Banks New data. Longs increased and shorts decreased.

Probably explains the NG run we had last week from 2.90 to 3.08..

My Opinion:


COT data is reactive not proactive one week after the fact. Although we are no longer looking at CDD and the RSI still has room to run. It would provide a perfect time to squeeze the hell out of all the shorts.

I sold my 22.35 @ 22.55 before market close. Still holding small lot @ 22.80sh. Im not buying another share of DGAZ until I see clear direction after report. If a squeeze occurs is going to be violent!









Here's another perspective with the Fibs: