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Re: None

Tuesday, 11/03/2015 6:55:19 AM

Tuesday, November 03, 2015 6:55:19 AM

Post# of 2467
**My trading plan for NG winter 2015** involves UNG and UGAZ. UNG is not leveraged so it does not suffer from geometric decay. It does suffer from contango and backwardation.

UGAZ rolls into the January contract starting this Friday and is completely into January contract by the 13 of November. UNG contract roll December-->January starts on November 16 and finishes on the 19th (4 day roll starting 2 weeks before December contract expiry).

To avoid contango in both, I will wait to buy until each are fully in the January contract since Feb. contract is trading about the same and there is much less contango than there was going November-->Dec.

I will put 1/2 my money designated for natgas trade in UNG for a ~2 month hold starting around November 20 and complete loading UNG by end of November.

I will cover my UGAZ short sometime next week (after UGAZ rolls into January). I will put 25% of my NG money into a core UGAZ position starting either 2nd or 3rd week of November depending on price action and swing trade the other 25%, sometimes hedging using DGAZ or shorting UGAZ in order to capture more gains.

I will keep an additional 25% to supplement my swing trade in case I need to average down and also do the same with UNG core. (so normally I'll have 100% of NG money invested and if there is a surprise drop I'll put another 50% in, half into UNG and half into the swing trade to average down).

That is my plan.

Happy trading and good luck to everyone. Let's make some money!

Stop swinging for the fences and start playing the swings.

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