Alternative to UNG

Discussion in 'Stocks' started by sledged, Sep 4, 2009.

  1. sledged


    Can anyone point me towards the stocks that trade most closely corelated with the price of Natty Gas? I will not touch the UNG, the whole rollover effect and the annoying task of filing at tax time being that it is a partnership has kept me away. Although it may seem like trying to catch a falling knife I think it may finally have approached a bottom. We have officially hit the point where it is cheaper to run an efficient gas power plant than to run a coal one, to me this signals a bottom. The builds should settle out and also with the larger coal power plants going on their annual outage soon we will see even more gas being burned. I would like to get long here. I welcome anyones opinion on my theory, thanks.
  2. Sledged

    Why don't you trade the NG futures?

  3. sledged


    Those are pretty big contracts, as a small timer I dont want to put that kind of size on. I also want a longer term investment vehicle, not something that will expire. I understand that natty can sit here for a while, I am looking at it from a long term herizon.
  4. So you know, there is a mini NG futures contract (I think margin is around $3,000).
  5. sledged


    I hope someone took my advice, CHK up about $6 since my call.