I am so screwed, all my savings is in this POS,
I wish I have never heard of UNG.
I did made around $9K in the month of June, then I got greedy.
I know I should have consider stop loss, and I didn't,
so it's too late to talk about it now, what really matters
is what to do now...
I am not joking, I really own 17,000 shares at cost of $14,
and I really really need some good advise...
There are so many different voices regarding Contango, Premium, Historical Low, Congress passing new bills on gas auto, Penkins, Hurricane Erika, NG/Crude Oil ratio, etc...
I owned 20000 @ 12.76 average, and I sold yesterday and took 27% loss. I may go back in when the future curves flattens. Now the Oct/Nov spread is too great and premium still too high
I may go back in when the price differential for the next 3-4 month decreases to 0.5 and premium drops below 10%. At that time UNG may be at 7, but who knows
DON'T SELL. UNG is near a MAJOR bottom within days. It will rally just like the financials did and you will actually make good money by February. I have seen this before and it always happens. People sell at the low, and then the stock rallies. Forget about this "contango" crap. UNG follow nat gas very well. When nat gas hits 6$ this board will turn the other way quick. And it will turn believe me!!
Don't even think about selling. We are still in SUMMER. Wait until we get to winter and people start using gas again.
Wait until the recovery kicks in.
Wait until somebody decides the Pickens Plan is a good idea.
I have a few shares of UNG and have been taking a beating along with everyone else, but we'll be ok in the long run. Gas has value. Hang in there.
What I really don't understand is that if Premium and contango effect are FACTS, why people are still buying?
UNG's price should collapse in one day to the point UNG price is as same as UNG-IV and drop to a point where Nov future is within 0.5 of Oct contract price.....
However, natural gas price and UNG continue to drop 3-7% every day, looks like minimal damage but for the past 20 trading days, UNG lost over 25%...
you could do one of a couple things:
1. Sell and take the hit.
2. But more and dollar cost average.
3. Sell December or January calls near your purchase price and at least give yourself some downside protection.
I would sell the calls, and then wait for the NAV premium to get within 10% and then buy back the calls, and add some for to your position and ride it back up with Nat gas with a lower cost basis!!
I only have 2 options,
1. Sell and take the hit.
2. hold and see what will happen.
I am investing from abroad so I cannot buy options or short any stocks.
Really regret I invested in this POS instead of MMR or CHNG...
1. Call the fund and ask to speak with someone who knows the produt. Ask them about all your issues and see what they say. I did this and all i can tell you is that after the conversation i sold half and put a stop loss in for the other half. You would be well adviced to call them!!!
the day they start issuing new shares ung will go to nav! That could happen any day now. Most likely next week when the bankers get back from vacation!
I am down too .... paid less than he did and have about 4000 shares less ...
I sell covered calls ... and use the money every 2 months to buy another 500 shares ... thus lowering my average and having more covered calls to sell.
When this thing turns I will be in a postition to get even very fast .....
not the best advice...at the very least people should sell covered calls against this position, other wise sell half and repurchase at $7.80 area to knock a buck off your basis.
Personally, I have not taken a position, but am looking for the buying opportunity here. Just waaaaaaaaaaay tooooooooo sooon.