When N-G goes up in price
that just means that UNG will have to
pay more for each contract they buy.
Just hope that when selling time comes
at the end of the month, N-Gas will be higher
then it is now, or watch out (again)
UNG was trading about 3.3 to 1 six weeks or so
ago, then it traded down to 2.35 to 1
and is now going for about 2 to 1 .
They can not issue more shares, so they have to
do with what they have, and as time goes by,
they will be able to buy less and less contracts
as N-G goes up in price.
Nothing to look forward to.
To me UNG should go up in price when N-Gas
comes down at the beginning of each cycle not
the other way around.
UNG does NOT stack N-Gas, it buys at the beginning
of each cycle and sells at the end of each cycle (month)