Oil looks to be hurting natural gas stocks.

This is from the “not as it seems” department. We have the natural gas ETF and take a look at this a little flag break out Friday and bid up higher in the pre-market this morning. It’s going over the major averages and no it's not a stock using a 200 average up here it's still above its averages which is better than nothing. So natural gas itself doesn't look terrible but let's take a look at some natural gas stocks

This is a natural gas index and look at trading right here at resistance Here is a rising trend line and sitting on a 50 day average so looks like it's having a little issue right here. RSI momentum has a lower high so far so this one looks like it might be having some trouble here.

If we look at some of the stocks in the group EOG here looks like it is possibly breaking down below its 50-day average and trend line right here. We’ve got falling RSI, falling on-balance volumes and that's not a good thing. Is another one APC. Again same sort of format. Rising trend falling indicators and this is a longer-term trend line right above that is resistance.

Moving on, DVN Devon same story with falling RSI, falling on balance volume and resistance here right at that ggap as you can see that in here on the bottom.

Noble energy again all similar stuff somebody might recognize the noble and that's usually it's considered oil services stock and that's the key theme here that a lot of these stocks have big oil interests and oil appears to be breaking down right now. Here’s Cabot. Draw your trend line possibly already broken. Range Resources looks like it's at a short-term support ready to fall with RSI falling and on-balance volume week.

But there is always something looking better in any sector and this is Williams. You can see it above resistance, above that 200 day average. A very different look here are as RSI was rising, on-balance volume rising over the last couple of days.

And one more, the giant in the group Kinder Morgan. Same story. Looks like a break out and maybe possibly coming down to test that break out with rising indicators here. But overall even though all natural gas itself may be looking a little bit better, natural gas stocks - and my thesis is that it's because of their oil component - looking rather weak right now for the most part. https://www.youtube.com/watch?v=-npGgEMLJTQ

Submitted July 25, 2016 at 11:26AM by TechnicianApp http://ift.tt/2aqJ0yM