Monday, August 31, 2009

United States natural gas fund ETF (UNG), adding more shares

On July 7, 2009, I wrote the following on the United States Natural Gas Fund ETF (UNG).
Bloomberg reported that UNG closed Friday with a 20% premium. (Reminds me of those good old closed end funds).
There is a good article about UNG on Seeking Alpha.
Anyways, as I mentioned before, nothing to do with charts here.
I am focusing on buying Gas one step at a time (by injecting small amounts of $) and hoping to see UNG dip below 10$.
Position size of my Gas holding in my portfolio ; less than 1% ; want to own at least 3%.
Why ?
It sounds stupid, but I am always a contrarian that loves way way oversold/overbought conditions.

9 comments:

SB said...

off topic, but do you know the best place to look at a chart of the Feds Treasury purchases and balance sheet.

Thought it would be here, but I can't find it. http://www.haver.com/


http://websurfinmurf.blogspot.com/2009/08/credit-default-swap-video.html

seeer said...

I completely agree with you. I do the same.

Btw what do you think about VISN and LEAP? Would you touch them?

Jonathan said...

Hahaha.

Good stuff Moise. Being a contrarian has always worked out...on the long run.

I believe this play could be worth "money" at some point as long as you're patient.

I may do the same as you...Smart move...one step at a time...

Lee said...

NG will continue to go down. Not until they are practically giving away NG will there be any sort of bottom. Even then it will be a LONG time before we even see $15 again.

SB said...

http://chart.ly/mt5x35

SB said...

Thanks for the UNG faith! I've been buying on the way down like you said.

Bought the most at 9.20 up 1+! now at 10.28

SB said...

Thanks for the UNG faith! I've been buying on the way down like you said.

Bought the most at 9.20 up 1+! now at 10.28

Moise Levi said...

More than welcome SB :)

SB said...

Since, if, we are in reversal territory, Would you do an accumulate say sell at 12 buy more at 9.**?