Posts
This is quite remarkable: Natural gas prices are almost at a 1 handle.
Today's reason for the big drop was that storage actually increased in North America, this still in March. The red curve is the current year's curve, compared with the average 5 year range in shaded gray. Amazing.
The woeful UNG reacted accordingly, remember the kiss of death post on UNG?
5 year chart:
Contango is now at a huge 5.5% on the two front months contracts.
Contango us UNG's killer.
Indeed the perfect storm for UNG today.
Note: You may receive technical analysis and alerts of these stocks, sent automatically to you, by entering the symbol in the Technical Trend Analysis Tool, (powered by INO).
1 comment:
So true. It's certainly not a vehicle for anyone considering nat gas.
One could consider a number of nat gas procuers, although with the current competitive fracking efforts, there is a glut overhang depressing prices.
What's one to do? The transmission and pipeline companies are probably the way to keep exposure. You can receive an income stream while preserving capital.
Seamus
Post a Comment