UNG

1. how likely is it that this shit govt. will force UNG to close down i.e to liquidate in same way DXO did?
2. how would this affect the option values?
let say for example tomorrow. UNG closes down at a NAV price of $10.00. Would all puts <= strike 10 all the sudden be worthless???
dont the option prices currently imply that UNG wont close down at all with 0% probability?
3.its correc that UNG has a contango problem to deal with and therefore not correlates all too well with NG but lets forget that argument for now.
thanks for all replies
 
OMG!!! Could it be, could it actually turn into a real uptrend? NAV down to 3% prem. Does that mean on the 28th it only gets adjusted downward around 45 cents, at current value????? Please help....Also, the worst thing you can do when you do get a rally is to look at your account value recover. You immediately start thinking about closing as it passes a round number like $20,000 when it was just $19,000. You don't want to give back and go under $20K; however, it must be your trading plan and your criteria for closing that forces you out of the trade, not account value........
 
I don't see UNG as a good nat gas play. The fund also has interests in crude--which trades under a different dynamic. It also has an interest in distillates which is experiencing a record surplus at this time (NOT contango, a simple surplus).

This makes for a difficult fundamental analysis job. I see no reason to risk capital waiting for the planets to align.
 
How many bottoms were declared in nat gas the last couple of weeks/months? Too many to count.

Now this pig is down for the count again? I am not surprised at all.
 
Love people that trade UNG and have no idea about the futures market or what a roll yield is or even what the shape of the curve is. You deserve to ride this pig into hell where it belongs. Even idiots on stocktwits warned people about this. One of the few out there actively telling people to short it again was the guys at Davian Letter. These same people probably riding PALM and MOT into the ground ;-)
 
Quote from pittytrader:

Love people that trade UNG and have no idea about the futures market or what a roll yield is or even what the shape of the curve is. You deserve to ride this pig into hell where it belongs. Even idiots on stocktwits warned people about this. One of the few out there actively telling people to short it again was the guys at Davian Letter. These same people probably riding PALM and MOT into the ground ;-)
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That is how it gets done. New shares issued would drive UNG share price under the spot of NG. I learned my lesson with USO and UNG is the same POS.

Akuma
 
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