Max Profit: $164/contract
Max Loss: $36 (assuming mid price fill)
Break Even: 22.36
Notes: A seasonality play put on at /NG lows ... . UNG's not my favorite instrument in the world, nor is it the most liquid that far out in time. It's also possible that /NG could trundle lower, since seasonal peak injection generally doesn't...
Recently, we warned that Natural Gas may set up another opportunity for traders to buy into a support zone below $2.70 with a selling range near or above $3.00. Our upside target zone is between $3.25 and $3.45. The price of Natural Gas has recently fallen below $2.69 and we believe this could be the start of a setup for skilled traders to identify key buying...
natty- IV is falling in correlation with price. this is common. as the seasonal bullish period for natty has passed
polar vortex, schmolar vortex. the beginning of march the seasonal crush will continue. im selling a 35 Delta call spreads 30 dte on a rolling basis cutting spreads at 50% profit during it's crush period.inventories in natty support this bearish...
UNG after incredible run has spent this past month in a very tight consolidation. the range started of wide but now has been getting tighter and tighter over the course of the last week. There are very few spots of momentum in this market right now.
Things I like about UNG right now.
One of the last spots of momentum in the markets