Oct 252012

NG 12 12 (1 Min) 10.25.12

10/25/2012 Weekly Natural Gas Inventory Report (0430 HI time / 1030 EDT)
Forecast: 66B
Actual: 67B
Started @ 3.756
1st Peak @ 3.772 – 0431 (1 min)
16 ticks

Reversal to 3.712 – 0433 (3 min)
60 ticks

Notes: Nearly matching report caused a dullish long spike of 16 ticks that crossed the 50 SMA, but could not go much higher than the 100 SMA. With JOBB, you would have filled long on the spike with about 2 ticks of slippage at about 3.768. Then when you see that it does not blast off normally, realize it is not going to yield much and close out with a few ticks or break even. The next bar began the reversal and the :03 bar shorted about 50 ticks to eclipse the S1 Pivot. If you had not closed out, you would have seen it hit your stop loss. Do not get caught waiting for a bounce and end up with a loss which is easily preventable.