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A "Second Chance" Trade That'll Make Your YearBy Jeff ClarkTuesday, May 26, 2009 There's almost always a second chance to make a good trade. But there's rarely a third.
For example, oil was a good buy when I first wrote about it back in December. It was trading near $40 per barrel. Within a few days, oil was trading for just over $50 per barrel. Anyone who took the trade enjoyed a quick 25% gain.
If you hesitated, you might have missed out.
But like I said, there's almost always a second chance. The second chance to buy oil came just over one month later when it traded back down to about $40 per barrel and the chart started to look bullish. Once again, I told you to buy oil. And once again, the price moved higher.
Oil is now trading above $60 per barrel. That's a 50% gain in just a few months. Traders had two chances to get in cheap. They're not likely to see a third.
Fortunately, there's no shortage of trading opportunities on Wall Street. While the oil trade has come and gone, we now have a second chance to get into natural gas.
In fact, as good as oil looked back in January, natural gas looks even better today.
Natural gas was trading for $3.86 per British thermal unit (Btu) when I wrote about it last month. Within days, natural gas prices shot up nearly 20%. Anyone who took the trade had a chance at a terrific short-term profit.
Since then, natural gas prices have come right back down. Now, we have a second chance at this trade. Take a look at this chart...
 Natural gas broke out of a bullish falling-wedge pattern in early May and exploded higher. It has come back down to retest the breakout level, and natural gas will probably fall a few more pennies from here.
But just as oil was a great "second chance" trade when it dropped back down to $40 per barrel in January, natural gas is a great second chance trade today below $4.
If you missed the natural gas trade last month, don't miss the chance to buy it today. It could be the best trade for the rest 2009.
Best regards and good trading,
Jeff Clark
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