Morning Update Feb 6, 2020

Looks like weather is still the main priority. It’s like a relief the market is bouncing around on changes in the forecast, yet you don’t really know what’s coming next. I like these ranges to trade a little within the range. Just don’t need to lose sight of the bigger scope here. The price could break out in either direction from this range, and I need to stay prepared for that. I would like to think I’m positioned well enough to make money.

NGH20 on 2hr chart at

The weather is still giving and taking HDDs and the chart is still holding in the latest range. I really felt like the price could continue up today, but the latest forecast took away 12 HDDs, as usual. I don’t have time to look at other factors. I’m going to have to assume everything else is pretty much the same. It is Thursday, so anything goes. EIA report at 10:30 eastern time.

I’ll be holding on to my 89% of funds in UNG, and looking to buy 1 share of UGAZ back soon. I’m setting a limit to buy 1 share (roughly 4% of funds) of UGAZ at $43.5. If this UGAZ order is filled, I”ll be happy to sell that same share for $46.2 again. I have enough settled funds in my account to buy and sell today. If the natgas prices fall to a new low, I may not be around to see it, but no orders to buy other than the one at $43.5 for now. I don’t want to buy too much UGAZ if I’m not sure, and Thursday with storage that is going to come in lower than the 5 year average is not a good day to take guesses on where the bottom will be. Good luck