HNU commentsto consider ( drafted this on the 12th and thought I should get it posted)
tracking HNU chart less important than tracking UNG - the 1x USA price ( or the future)
HNU is 2x us price ie the future , as we know and should track with UNG
HNU is hedged on us $
Best to buy UNG or t:GAS as 1 x ie for initial entry ( long term )
Remember GAS is can dollars so you have to project $can - so best when $Can is high(er)
GAS is a peaking product from Canada so has to fall in price to compete with US price and production
Certainly you can try and trade the HNU ( HND ) - dont' stay in more than 1 2 3 days
N gas should oscillate until say Sept 15 ( I see a test of 3.25 -3.30 low)
Up TREND in N G should start in Sept
That's the likely time to buy and hold HNU
as a hold or trade ( on top of holding some GAS )
See
www.stockcharts.com gallery view $natgas
( shows major bottom usually is in Sept )
Also note we are closer to full storage this year( early ) so if " FULL"
is reached then spot price will dive -- Say end July
We should be seeing the minor A/C temperature effect about now ( 2 weeks to longest day )
then sideways to mid Sept Not up to normal June temps yet so less effect this year?
The bigger hurricanes occur after the warmth of summer ( ocean water)
So Aug 15 to Sept 7 or so is time you may see 1 or 2 big hurricanes
And then it needs to travel past rigs and facilities in Gulf and actually do major damage
Note that bad ones have been around Sept 1st ( so could wait till mid Aug )
You can find websites that map the storms
Haven't looked at ( the relative size of ) N G Contango yet.
Expect it is more modest( normal ) and not as wide as was oil 2 months ago
And I expect very few LNG tankers compared to oil tankers to rent
So when land storage is full , price drops yet with less Contango to affect rollover
I had suggested about 2 mo ago that summer would be swing trading time for HNU
I still haven't entered .
Expect a drop back next week ( ie from June 15 ish )
Notice 90% of those on tv know nothing .
Guesses up , guesses down , no data
I have yet to see any one with projection for chemical feedstock demand
And no tables graphs or numbers . So all tv is useless
Any decent links ?
So you trade/ speculate if you buy HNU before Sept
but could buy GAS or UNG for a hold and not suffer futures resets etc for 2 months
( and on algebraic degradation of HNU due to 5% up then 5% down )
Maybe post again if see an entry point in a few weeks
No point wasting people's time with useless/marginal overposting as so many do
( which is S H method of generally moving you past a 2 rating )
Good Investing
Regards
U