Purely from a technical perspective, U.S. Natural Gas Fund (UNG) weakness after its pre-open high at 41.00 to 38.91 represents a gap-filling expedition, at least so far.  The fact that selling pressure filled the entire up-gap this morning and then buyers re-emerged to push up prices to 39.62, as we speak, warns us that the action is a correction within an underlying advance off of Monday's low at 35.67.  As of this moment, the UNG pattern remains constructive within the overriding bullish potential indicated by hurricane Gustav.



Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com, a real-time diary of his technical chart analysis and trading alerts on all major markets. For more of Mike Paulenoff, sign up for a free 15-Day trial to his MPTrader Diary by clicking here.