read the posts here. HAs to go down and will continue until premium iis gone and contago under control. OR NG rally to ~5.00. So at curent NG price UNG true value is ~5.50. It will stop going down when it reaches that (adjusted for gains in NG) Any gain in Oct futires (pretty much the same as spot NG)will bring that 5.50 bottom up. Of course further weakness, like today, will lower that even more. I believe this is guaranteed, anyone have any evidence to the contrary????
I think the answer is very simple actualy... UNG goes down because NG goes down. On top of that this so called tracker trades at a premium above NAV. That will go away, period. So it is very simple. There is just no bullish story behind NG at the moment. A maybe hurricane, or a maybe cold winter does not do the trick...it will be real demand which just isn't there. Very simple right? That is why UNG keeps falling! There is no conspiracy, there is no manipulation, there is just NO DEMAND for this stuff! EOM!