The only problem I see is the lack of being able to export nat gas to Europe and Asia, and the fact that we still refuse to widely use nat gas in our country. I would've been long nat gas at the $2 area, but I really don't feel like dealing with that contango. Very easy to destroy your position if you don't take that into consideration.
since the start of the year i've noticed NG and ES somewhat inversely correlated. their sudden moves have often been together in time and opposite in direction. knowing that the market was being propped up by flow, it seemed the BTFD LTRO infused ramp up in the ES was being matched by a short in NG. almost wrote this last night, wish i had, as todays move was what i've been seeing all year. i also was watching to see if this natty bottom would hold, or if once the market began to get propped up again, the price of NG would be depressed in the same swift motion, on a thursday. "two dollars" is the mantra, as if along with making sure the market is floating along QEasily, that nat. gas. with a solid $2 handle is also somehow, "part of the plan."