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MagneGas Corporation produces and distributes bottled gas to the metal working market in the Untied States. It offers MagneGas, a natural gas alternative and metal working fuel made from industrial, municipal, agricultural, and military liquid wastes. The company’s patented Plasma Arc Flow process gasifies liquid waste, creating a hydrogen based fuel for use in metal working, cooking, heating, and for powering bi fuel automobiles.

Feels like musical chairs up here w/ the market extended as it is, but I’m presently thinking more topside. VIX did achieve an 18 handle on Friday, however.. still watching for SPY gap closure north of $133. A few ripe setups below, & additional color on Twitter.

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Always be cognizant of rogue earnings reports by checking the earnings calendar.

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SHORT:

A lot of people will tell you technical analysis doesn’t work on penny stocks. New to the blog this coming year will be my attempt to prove them wrong. Starting w/ $10k split between five stocks, I will semi-actively manage a model portfolio, and see what sort of performance numbers I can put up. Commissions are assumed to be $10 per round trip and a penny stock will be defined as anything under a dollar. Executions are based on market close.

Without further adieu, here are the initial contenders, followed by their charts:

Greetings once again from TraderDigs’ Laboratory. Today is the first day of fall; the autumnal equinox. Daylight hours are rapidly diminishing and the nights are getting cooler. With winter on the horizon, I have a theory about natural gas. As I’m sure you’re aware, charts elsewhere are very messy, but there’s a few things to look at in natty as we plumb new depths on lackluster volume.

As a reversal trade, all the usual caveats apply, but this one looks compelling. My macro theory here is that natgas currently represents one of very few asset classes that could be appropriately termed as “value.” Everything else was inflated by QE ad nauseam. I’ve read about the supply glut, but despite that I think wary funds looking for a home in an otherwise casino of a stock market may find it in this abundant domestic resource.

Sure, there are also political angles, but I’m mostly concerned with the charts, and that’s what I wanted to look at here. I would like to also point out its relative performance on Thursday, having been down only about 1% against a backdrop of much larger losses elsewhere in the commodities complex.

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UNG daily chart – first thing to notice is a double MACD versus price diveregence. Second is the non-confirmation in volume. Put simply, sellers are not aggressive.

GAZ weekly chart – backside retest of a broken downtrend line. I have been tracking this for a long time. Jesse Livermore once said that in making speculation a business, one necessarily keeps an eye on all markets for big opportunities. Is this one of them?

UNL daily chart – dollar volume is not great, but there are market makers with size on both the bid and the ask during normal market hours. This last chart is dynamic and will update over time.

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As always: Use stops. Stay nimble. Questions/comments welcome!

“The first panacea for a misguided nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin. But both are the refuge of political and economic opportunists alike.”

This quote resonates well with me, now more than ever.

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Follow @traderdigs

So, I set about making a change. I found an IkeaHacker article that seemed attractive, and just while I was about to make the trek over there to find a solution, I realized I could more easily pull this off with a series of cinder blocks from Home Depot. It’s not very elegant, but HD is literally 3minutes from here, and for dirt cheap I could figure out if I enjoyed standing, plus other details such as exactly how high I wanted the table top.

It took a few hours to deconstruct everything, clean, and then rebuild. I’m definitely liking it so far. The first few days felt like those leg burners at the beginning of the ski season, but I can already feel that discomfort wearing off. I did go ahead and pick up a stool from a nice lady on Craigslist because, just as you shouldn’t be seated all day, you needn’t be standing either. For now I’m having to rest every couple of hours. I suspect that might extend to 3 or 4 once I’m better conditioned. I felt it also necessary to grab a soft mat to stand on. Carpet alone is insufficient.

One other tweak I’m considering is raising my monitors another 6inches or so. I’m still looking down on them by approximately 15degrees when staring at their center, and ultimately that zone should be at eye level. I might be agreeable towards a wall mount at some point if I can find the right hardware to make it happen.  As for table height, I’m six feet tall and finding that 44inches is perfect in terms of keeping my elbows at right angles while typing.

Here is a look at the falling wedge setup going into Thursday’s session (SPY 15min) :

This guy laid it out nicely – Zortrades.com : Bounce or Flash Time For The SP500