So HOU is anchored to oil $42 now?Alright can someone explain this to me, yesterday HOU was trading in $2.50s range and oil was at mid $30s.
Today, the future contract rolled over from Jan to Feb, and oil price suddenly became $42? Is HOU $2.58 anchored to $42 of oil price?
This is confusing since I've set a target for oil price that I would like to get out of HOU at and was hoping oil would find a bottom at low $30s if it came to that. But now it's trading in the $40s, what if it goes back down into the $30s, does that mean HOU will go down from $2.50s into the dollar range?
This whole future contract rollover thing is crazy plus all these irregular volume is crazy.
Can someone please explain?