I’m going to add some to my UNG position again. I’m buying UNG with about 6% of funds to put me roughly 37% in UNG at my average of $13.08
UNG – 37% in with an average of $13.08
USL – 13% in with an average of $11.41
Looks like switching to USL helped reduce the pain of being long Oil. Maybe I should just go back to staying away from Oil trades since I don’t have time to really keep track. I”m saying this to say I will not be adding to my USL position. I will hold it for a while to see if the market will turn enough to provide me with a profit. I am happy I moved my money to USL, and I’ll stick with that.
As for gas, it’s just slow grind. Supply and Demand have dropped, but more evenly than I think the excited me was hoping. Also, LNG is still the bearish surprise factor right now. I keep hearing more and more about rigs laying down, capex cutting, CHK bankruptcy now. This will all put a drag on new wells, this winter and/or 2021 could be quite interesting. I’m not counting on a major lack of supply in natgas, because shale is fast to pick up the pace. Gas was over-supplied, this swing in reduced production is not a major under-supply. Since shale is quick moving, it will not get so bad under-supplied, prices go to $10 or anywhere close.
Well now I’ve gotten distracted by that job thing I have to do. haha I should get to it. No more plans to add or reduce for now. If UNG shoots up to $14, I’ll reduce back to 20% holdings again. Good luck today.