3SOF

natural gas futures are down -5.27% this isnt good for NGAS 

Put in the breakout of the Symmetrical Triangle (continuation) Pattern.
Retest of breakout area.
Compare the price of natural gas now to a year ago and then do the same with oil.

Technicals
Last Price Quote is:
4.27%above 13-day EMA
8.14%above 50-day EMA
RS Rating: 79 

Fundamentals
Earnings Expected on Aug 8

Key Data:
Market Cap (M): $186.17 
P/E Ratio: 327.67 
PEG Ratio: N/A 
Next Earnings: 08/08/2006
Last Analyst Rating: Strong Buy

Update:
A few interesting things about NGAS's last session:
- NGAS managed to have a strong session even with a big drop on the Natural Gas Futures.
- Yesterday's candle was a hammer, suggesting a reversal and continuation.
- The low of the day was a perfect retest to the old descending resistance top of a big triangular formation (now a support), and at the same time the short term ascending support line.
- The volume was low, but personally I look it as a bullish signal this time, showing that even with less buying pressure this stock is capable of closing near the highs, against the broad market and the Natural Gas Futures (both down).
- NGAS closed the after hours trading up 1.12%

With all this new inputs the risk reward ratio changed for this position, so we'll be keeping the same trading plan through the earnings. Anybody uncomfortable with holding NGAS through the earnings will most likely have the chance to sell NGAS at or above our entry price today (we expect continuation from yesterday's candle).

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Regards,

It'll probably tank tomorrow...although its up in AH.  I'm in at 9.12 and 8.98 (Coverdell).

NGAS Reports Record Second Quarter 2006 Production up 67%; Gas Transmission and Compression Revenue Increases 376%; EPS of $0.03 As Compared to ($0.03) in 2Q 2005

NGAS today reported total revenue of $18.3 million in the second quarter 2006, a 60 percent increase over the comparable quarter last year. The growth in total revenue was driven by a strong performance across all businesses, notably a 376 percent increase in gas transmission and compression revenue and a 69 percent increase in oil and gas revenue. Oil and gas revenue grew from higher production volumes, while gas transmission revenue benefited from the acquisition of the Stone Mountain gathering system from Duke Energy Gas Services, LLC in March 2006.
Net income in second quarter 2006 was $722,953 versus a loss of $535,652 in second quarter 2005. Earnings per fully diluted share were $0.03 for the second quarter of 2006 compared to ($0.03) in the second quarter of 2005. Weighted average fully diluted shares outstanding for the second quarter 2006 were 22,919,707 compared to 16,005,158 in the second quarter of 2005...

Update:
NGAS reported earnings above the analyst's consensus; the stock had a strange volatile session, in part because of the broad market session also very erratic and volatile.

- NGAS Reports Record Second Quarter 2006 Production up 67%

NGAS was up in after hours trading, and natural gas futures are up again overnight (+2.12%).
The technical setup is still very attractive, a breakout + retest with volume and mid term reversal pattern in play, and we'll keep the same trading plan.

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Regards,

Update:
NGAS still trading above the breakout level, volatility is high, but the reversal pattern is still alive. We'll keep the same plan for now:

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Regards,

Update:
Not a good session for NGAS, dropping a bit below the breakout level. The only positive thing about yesterday's move was the fact it didn't trade below $8.43 (the previous relative low). This is a volatile chart, with a lot of «price noise»; the overall reversal pattern is still there, so the best we can do is to hold to our plan.

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Regards,

Quote from: Ramsburg on August 15, 2006, 07:29:50 AM

Update:
Not a good session for NGAS, dropping a bit below the breakout level. The only positive thing about yesterday's move was the fact it didn't trade below $8.43 (the previous relative low). This is a volatile chart, with a lot of «price noise»; the overall reversal pattern is still there, so the best we can do is to hold to our plan.

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Regards,

Natural gas as a general commodity went down yesterday by between 5 and 7% at the various times I looked, dont know where it ended, but NGAS seemed to hold up fairly well given that.  The initial drop in oil also seemed to have something to do with that drop in natural gas, but oil started to rally yesterday, so maybe natural gas will too today.

But yeah, in any case NGAS is a very volatile stock compared to anything else I own right now.

Quote from: tokyopua on August 15, 2006, 07:36:56 AM
Natural gas as a general commodity went down yesterday by between 5 and 7% at the various times I looked, dont know where it ended, but NGAS seemed to hold up fairly well given that.  The initial drop in oil also seemed to have something to do with that drop in natural gas, but oil started to rally yesterday, so maybe natural gas will too today.

But yeah, in any case NGAS is a very volatile stock compared to anything else I own right now.

Hi Tokyopua,
You're right, NGAS is having some kind of relative strength against the NG futures, which is good.

Update:
Finally a bullish reaction after a few days testing the breakout level. NGAS is showing some strength now even with the Natural Gas futures performing poorly.
The overall pattern (excluding a lot of volatility and price noise) is showing a consolidated breakout and a mid term reversal, we'll stay with the same plan for now.

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Regards,

Update:
We're glad to see NGAS above $9 again, even with the Natural Gas futures consolidating near the short term lows.
Looking to the bigger picture (second chart), we can have a clear vision of the current technical outlook and the reversal pattern in place. We'll keep the same plan for now.

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Update:
Not much to had since the last update... NGAS is still trading above the breakout area, volume has dropped in the last few sessions but NGAS is holding pretty well near $9. This looks like a consolidation, the main bullish signal is still alive in the charts, so we'll wait for developments with the same trading plan.

Trading Plan:
Hold NGAS with a stop @ $8.20 and a Limit Sell order @ $10.50

Surge....
Institutional investors?

Volume: 904,284
Avg Vol (3m): 517,412

Technicals
Last Price Quote is:
5.69%above 13-day MA
10.07%above 50-day MA
RS Rating: 96 

Fundamentals
Key Data:
Market Cap (M): $193.89 
P/E Ratio: 341.26 
PEG Ratio: N/A 
Next Earnings: 11/13/2006
Last Analyst Rating: Strong Buy.........

Quote from: setravis on August 24, 2006, 04:37:22 PM
Surge....
Institutional investors?

Could be that, or just increased interest in the stock because of all the storms brewing in the Carribean now that could impact natural gas supply.  In any case, the stock looks very bullish here 

I am curious Setravis about the cool format you always present stocks information in, what service are you quoting, is it an IBD thing or something?

Frederick,

Volume wasn't real strong yesterday, but it was another pattern breakout in the right direction.

Premarket action...