Morning Thoughts – Oldinvestor

Options are typically slower trades, at least for me. I find I must give options strategies I try, as a whole, much more time to work. I’m no options guru; I’m not even a NG guru, so I don’t do a lot of options trading. Covered calls and covered puts has worked out quite well lately and so has diversifying my larger accounts. Options has worked better than layering with the diversification of my funds in the one account. I should explain that I have a 401k account that I’m not allowed to trade options. This is a rule set by the company I work for, not the government. I also have a cash account, in which I can trade futures, equities, or options against either. This same strategy can’t carry over very well to Webull, as I don’t have enough money to sell covered calls against multiple securities (stocks or ETFs) at the same time. I’m saying all this to say at times, it’s going to take what seems like forever for one equity like SLB to give back strong gains. Had I started this trade against SLB a month before, I would be smashing new highs in the account… What seems like a boring run when I’m trying to call trades out on UNG every week. I want to get back to that some on small scale.

As for gas today. Watching the first video that is about 2 hours old on Tropicaltidbits.com. Still waiting for the fellow talking about Hurricane Delta to say it is one bad mother, but I don’t think he’s going to do it. Cameron is definitely going to see some strong winds, and maybe even just as strong winds as with Hurricane Laura. Cameron and Sabine Pass will be getting some rise in water/flooding.

Daily LNG feedgas at RonHenergy.com

We can see Sabine is slowing flows and Cameron is certainly going to be down for a bit. No way to tell how long Cameron or Sabine Pass will be down. With Hurricane Laura, Sabine Pass was down for 15 days before they say a rise in feedgas back to or above flows before shutting in. This could be 45 to 60 Bcf of gas shut in for a 15 day period, with Sabine Pass cutting flows. Also the a focus again being on South Central storage.

Positioning and P/L pre market 10/9/20

The hurricane is the only focus until next week. I’m going to sell my UNG position as it just jumped another leg to $12.17, I’m exiting there for roughly a 5% gain on the trade. That’s only a .2% gain on my account, but I’ll take it. I’ll hold UNL and SLB. Oil seems to be getting its legs back. We’ll see. SLB should hold. I may get a chance to roll my call back up soon enough and ride SLB in the correct direction. Be patient for that one. Selling UNG, holding the rest going into the weekend. I hope it’s a good one for everyone

Oldinvestor