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
Nobody believes in this nat gas rally. If you take a step back you can see a long multimonth base and now the formation of a bullish symmetrical triangle which is a continuation pattern for higher prices
The major activity in natural gas, especially over the past 2 weeks presented an opportunity to make a bullish-neutral bet.
31/32/42/43 JAN19 IRON CONDOR @ 0.73 CREDIT
Roll if necessary & if possible to reduce risk.
Target maximum profit, unless significant profit appears early.
Comment or direct message for discussion, or on other interesting...
Max Profit on Setup: 3.00
Max Loss/Buying Power Effect on Setup: 6.00
Break Even: 26 versus 26.06 spot
Debit Paid to Spread Width Ratio: 67%
Delta: -48.42 (bearish assumption)
Notes: In an ideal world, there would be a December expiry currently available for the front month leg (there will be one after October drops off) and a price in the 28...