RE:Bought more today An expert who is tracking the weather and advising on nat gas and agricultural commodities, believes that we won't see a third consecutive mild winter. This what he wrote recently:
"Some El Nio neutral winters that also had a December negative Western Pacific Oscillation Index were cold and snowy in the Midwest and especially the eastern United States."
"My forecast a week ago for a cold December helped to jump-start the natural gas market. I doubt with this forecast we will see January or February natural gas below $3.00 at any time soon. This is the first time in at least 3-5 winters, I am "cautiously friendly" natural gas. For most of the last few winters, selling call options, buying puts, or selling futures have been the play."
He is talking about natural gas prices in the U.S. Even if he is wrong and HH stays at current levels or lower, AECO has a lot of room for improvement. From less than a dollar in the first half of November, it crossed $2 last week. Already better price than Q3 average.