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BetaPro Natural Gas Leveraged Daily Bull ETF T.HNU

Alternate Symbol(s):  HNUZF

HNUs investment objective, is to seek daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to up to two times 200 Percentage the daily performance of the Horizons Natural Gas Rolling Futures Index the Underlying Index, Bloomberg ticker CMDYNGER. HNU is denominated in Canadian dollars. Any US dollar gains or losses as a result of HNUs investment are hedged back to the Canadian dollar to the best of its ability. The Fund To be successful in meeting its investment objective during the period, HNUs net asset value should have gained up to two times as much on a given day, on a percentage basis, as its Underlying Index rose on that given day. Conversely, HNUs net asset value should have lost up to two times as much on a given day, on a percentage basis, as its Underlying Index declined on that given day.


TSX:HNU - Post by User

Comment by robbie25on Nov 11, 2009 6:43am
574 Views
Post# 16474097

RE: Time to go long.5k

RE: Time to go long.5kWell, yes and no......I agree that when the turnaround comes, it's going to be hard and fast....I have also liquidated all my short positions, as I believe the downside for NG is somewhat limited from here.....

But that doesn't mean the turnaround has to happen "within 24 hours" as you suggest.....in fact, I think the #1 thing that is going to cause a snap rally is going to be a surprise cold forecast over a 1-2 week period. Exactly the kind of thing that happened in October.

You  say NG is sitting close to a 52 week low.....not really. The prompt month in early Septembr (which would have been Oct) traded as low as $3.50......the prompt month currently is $4.51, so it still has a ways to go if it wants too. It should be noted that should Nov go to that, HNU would trade around $6.19.....not saying it will, or it is even likely, but it is something to keep in mind.

As of right now, there is balmy temps due to Ida in the NE and Mid West for the next week or so.....this has already been projected to delay drawdown by at least one week, it is currently forcasted to draw in the last week of Nov.

I would wait ofr a weather event before going long NG at this point.....with the weather the way it is, and storage an issue again due to the prolonged build season, I don't see any reason for a reversal without some strong weather-help.
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