Wt Nat Gas 2x Discussion Threads

[bottompicker] 04/9/2009 11:43

My fear is tell me to sell, so my head is telling me to buy more.

[debbiegee] 04/9/2009 11:36

Also saw the Bloomberg article.

I also hold llho (LEAN HOG ETFS)
They also had sunk to all time lows a couple of weeks ago and bloomberg ran a similar peice.
( literally on the lowest day).
At the time I thought their timing was out as it had already happenned.
They have sinced rallied back from app 7.5 lowest to 10.2 highest app.

[bottompicker] 04/9/2009 11:34

I would just like to see if this can go up at all, its just down down down down

[perfect choice] 04/9/2009 11:25

Well this article justifies my own decision to sell this morning. A turnaround in price will not be in the short term from the sound of things.

A couple of comments stand out as follows, particularly the second if storage runs out:

"I would not touch that market until I see a $1 handle in the next month," Jonathan Kornafel, a director for Asia at options traders Hudson Capital Energy. "The fundamentals are just too strongly bearish for this thing to turn around."

"If they have to take gas to market, instead of putting it in storage, the front end of the curve will continue to get whacked."

[mart] 04/9/2009 10:29

My understanding is that the extracting industry, in the US (don't know about elsewhere), needs the price to be about $6 to be a profitable proposition. Can anybody confirm that please?

[cagey76] 04/9/2009 10:23

Fair enough, its better to go with what you feel and make the decision. I'm trying to play things longer term without the need to monitor too closely, so have started to add. I'm hoping the journalists are now only reporting what everyone has known for a while, and that much of it is already in the price.

[perfect choice] 04/9/2009 09:51

You'll need to depending on you buy price IMHO. The issue here is how low can the price go before it turns for the winter. We all have to make our decisions, I may have sold at the bottom for what I know, but it is really a gamble right now so I've decided to limit my loss personally (was only a small first investment anayway) to watch on the sidelines. Plan to get in again, just not now!

[cagey76] 04/9/2009 09:31

selling at this price sounds like a risky plan, I think I'm going to get more, am happy to sit on these for a few years.

[redprince] 04/9/2009 09:31

gdasinv2-i dont know if you are deliberatley trying to mislead people who read this thread or if you are just completely ignorant as to how this etf works but your comments are showing its one or other.

Reading your last post you clearly all i can say is im glad you aren`t managing my pension.I am not going to tell you / explain again why your strategy is high risk to say the least because you obviously haven`t read my posts.

[perfect choice] 04/9/2009 08:22

Well that is enough for me, pulled the plug and sold on the basis I can see the drop continuing short term. Will look at a sub 1.1 price to buy back in again. Just bought in too early expecting some bounce which wasn't there. There is a rise due long term but cannot see downward trend stopping for now, might as well buy in at a lower price.

Nymex continues to show downward price trend for future prices and has worsened slightly this morning, take note.

[volvo] 04/9/2009 08:05

Going to invest a decent amount just waiting for this drop to finish.Could be at 1 dollar the push down does look impressive.

[katsy] 04/9/2009 07:54

Great, when will the utilities cut their gas prices?

[gdasinv2] 04/9/2009 07:39

Despite this horrible news - The FUND company is buying them a lot - Looking at the daily trades - WHY - Because at some point the cycle will change - no one known when - But Patience is the key even if you have made loss and dont need the money for next 6-1 year - so may be reversed. I have seriously out into SIPP a/c to get retire at 65

[bottompicker] 04/9/2009 07:38

I feel like I should get out, but if I wasnt in at this price, I would try my luck. So sticking in.

[gdasinv2] 04/9/2009 07:27

The word "Analysts say storage facilities could be full for the first time this autumn, before heating needs start drawing them down" - Once FULL - no more supply - so sign some stabilization in near future

[jotoha2] 04/9/2009 06:55

jl , did I say I put it in this one...no it went into this and ngas , one is leveraged the other not !!!What are you inspector cleuso?

[jl202] 03/9/2009 20:54

jotoha2 - 3 Sep'09 - 21:32 - 106 of 109

Volvo , its loosing around 5% a day at the moment , have you got money to burn , I put in £23K yesterday and very pleased to be out again.

You didn't put it in in stock,

jl.

[nabcom] 03/9/2009 20:50

No floor in sight for natural gas; prices plunge

By CHRIS KAHN (AP) – 4 hours ago

NEW YORK - Natural gas prices tumbled again Thursday, hitting new seven-year lows after the government reported more supplies were put into storage as the entire country pares down on energy usage.

[nabcom] 03/9/2009 20:49

Stockpiling hits natural gas
By Gregory Meyer in New York and Javier Blas in London

Published: September 3 2009 11:29 | Last updated: September 3 2009 20:47

US natural gas dropped to a fresh 7½-year low on Thursday as injections into burgeoning storage facilities continued, while prices in the UK and continental Europe also fell sharply.

Natural gas for October delivery at Henry Hub, the US pipeline node, fell 7.6 per cent to $2.508 per million British thermal units, earlier touching $2.500, the weakest since March 2002.

The market plunged after a weekly government report on gas inventories. Producers put 65bn cubic feet into underground storage last week, making stockpiles 17.8 per cent higher than the five-year average.

Analysts say storage facilities could be full for the first time this autumn, before heating needs start drawing them down. The prospect of plentiful supplies also pummelled winter gas prices, with the February 2010 gas contract below $5 per mBtu for the first time in five years.

"We're all concerned this is kind of a new chapter in US gas. We haven't reached these infrastructure constraints before," said Teri Viswanath, Houston-based director of commodities research at Credit Suisse.

[jotoha2] 03/9/2009 20:33

And its droped in the states again !!

[jotoha2] 03/9/2009 20:32

Volvo , its loosing around 5% a day at the moment , have you got money to burn , I put in £23K yesterday and very pleased to be out again.

[volvo] 03/9/2009 19:37

Buy all you can these prices it is the absolute price.Will see 100pc in 10 weeks.

[jotoha2] 03/9/2009 17:46

Exactly ...in the last week you would of lost approaching 16% , not good if you are playing with large chunks.....gdasniv are you invested in this , if so how much down are you?

[gconvery] 03/9/2009 16:56

Out of interest I bought LNIK earlier this year and held for about 6 months before selling for 100% profit. I guess that shows that in a rising market it is possible to hold these things for a longish time and make money....I'm currently watching this and won't buy until there is a clear uptrend...

[redprince] 03/9/2009 16:36

gdasinv2-you are not quite right when you ask where is the downside.I advise you to reread my earlier post copied from iii board which summarises the risks
very neatly.You are making the critical error of assuming because you buy in low that you cant go wrong.That is only half the story.You need to fully understand how this vehicle works.I suggest you visit iii board and look at lnga bb and study posts by "tradesmarter" - this gentleman has educated me in last two weeks from reading his excellent posts.

If spot price remains static or stays below futures price you ARE losing every time they renew/roll the contract forward.An uninformed person reading your posts would be entirely misled as to the risks involved here.