I am in KY we hit a low in excess of 12 F Degrees last night this is a contract low. Extreme low! Norm is around 35-38. Last week we hit 68 degrees, a contract high! Lets see 38 % retract fib is 22 degrees. There is resistance at 38 degrees F; and 50% fib is about 40 degrees, the norm low is about 35. Does this mean we may retract back to at least 35 degrees the strong resistance line?
And if it does hit 35 are we going to go into a long narrow channel. Or punch through the resistance, would be nice; or bounce back down? Yuck. Or even punch through to the 62% fib and have 50 degree weather that would be great (there is resistance around 45 degrees though)!
I think I will long 2 Feb WX contracts. Still have to figure out my entry, stop loss and target numbers.
Becky