I have written a new piece on the fundamentals for anyone interested. http://seekingalpha.com/article/256138-underlying-shifts-in-the-natural-gas-market
Hey PAPA, if one were wanting to be long Nat Gas for a year long period, how would you recommend one do so without being killed by contango. What is the best pure play for a long term play?
I am not really a stock guy, but unless your a futures and options player, your best bet is to choose a basket of companies that are gas oriented. I am buying calls and selling puts out on the curve as far as July 2014, (option fences).
That should work if you trade the plan long enough. Want to bet a lot of companies won't be hedged when NG takes off because of complacency just like corn and wheat.
what do u think about vf here. last year it came in even as we sold off and settled near the lows (quoting to premium) do u think the opposite will happen if ng rallies as the back selling pressure is taken off or will the spreads continue to come in.