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Thursday, December 26, 2024

Top Trades for Thu, 22 Jan 2015 09:43

UNG at $14.70 is playable for the Futures-challenged. 

Doesn't look like much but Feb $15 calls are 0.90 so we can SELL those and buy the $13.50 calls for $1.70 and that's net 0.80 on the $1.50 spread so 0.70 upside (87%) if Nat Gas is over $3 in 3 days.  

What I like about this trade is it's not very likely to burn you for a 10% drop ($2.70 on /NG) and, if it does, we'll be loving /NG longs there anyway.  

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