With two months in a row of big volume, Natural Gas ETF ($UNG) looks like it may be ready to stage a significant advance in 2014. The price action has already cleared the highs of the last base at $24, and should close above that level by the end of February to confirm the breakout on the monthly chart:



We remain long $UNG in The Wagner Daily newsletter, and the trade is now showing an unrealized gain of 12.7% since our January 30 buy entry.

UBS E-TRACS 2x Long Wells Fargo Business Development Company ($BDCL) has been trading in a pretty tight range on the monthly chart for nearly a year, while basically setting higher lows for the most part within the base.

There has been solid support at the 10-month MA (almost like the 200-day MA) in the base, with several undercuts of the 10-month MA resulting in a bullish close well off the lows of the month:



$BDCL still has much to do, as it eventually must breakout above the range highs to generate a buy signal. With shorter-term consolidations, we do not mind buying ahead of the breakout. However, with consolidations of 10 months or more, we prefer to wait for confirmation of a breakout before entering. Subscribing members should note our trade details in the "Watchlist" section of today's report.

After a four-month long consolidation, iShares Global Infrastructure ($IGF) has broken out on above average volume. This is one to watch for a pullback entry, somewhere around the 10-day MA, if the action remains healthy. A deeper correction to the breakout pivot around $39 is a possibility if the 10-day MA does not hold:



We sold our Coffee ETF ($JO) at market on yesterday's open, locking in a quick 19% gain on the trade. $JO is still in good shape, and could run a few more points into the $35 - $36 area.

Deron Wagner is the Founder and Head Trader of both Morpheus Capital LP, a U.S. hedge fund, and MorpheusTrading.com, a trader education firm.