Friday

Natural Gas Contango

Post a Comment September 4, 2009 – 11:24 am |   | Permalink |  Print This Post |

We closed EUR/USD even today - wanting to focus our attention instead on other opportunities and extremes.
We also shorted the November Natural Gas contract at 3626 and longed the October contract at 2475 (a gap of $1.15 between the two contracts). This is a ridiculous contango, one that we cannot resist but to take the trade.
$2/point, so if the entire gap 1150 closes up to zero, we will be up $2300.