Oct/Jan is a popular spread for longer term trends. You can also trade something like a Dec13/Dec14 or Oct13/Oct14 spreads, etc.
these are definitly term structure plays as well as directional plays.. i'm sure the closer you get to the front the more your trade correlates with direction of the underlying..
unles theres a longer term tracking etf.. you can short , then thats a different trade.. is the roll cost significant in UNL?
What do you mean? It is a long term tracking ETF. The calendar basis in nat gas varies. The monthly strips are pretty tight now. That was NOT the case when natty was down at 1.90. The curve was pretty steep. Now it's much flatter so UNL won't cost much to hold.
thats what i meant.. i was askin about the cost of carry in the UNL.. i'm not sure about it.. plus its had a good run up.. i'll revisit on a retrace..