Velocityshares 3X Long Natural Gas ETN (UGAZ)

[Sgreg]

Yup, what is happening to nat gas is exactly what should happen. It has been overbought for 5 weeks. Few months back it was $1.60 and that was absurd to the low side. Then went to $3 and with the supply/demand and fundamentals and the speed that it shot up was absurd. IMO current fair value of nat gas is around $2.50. There is huge supply but demand is looking better. It is hot but it is summer and it is supposed to be hot. Don't see why nat gas should be sitting well below $2.50 but don't see why it should be way over it either.