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To: Fiscally Conservative who wrote (84453)	11/23/2009 5:14:29 PM
From: tom pope	Read Replies (3) \| Respond to of 118717

Doesn't UNG create its positions with futures, and isn't the NG contract still in contango?

To: Fiscally Conservative who wrote (84453)	11/24/2009 12:43:12 AM
From: Keith Feral	Read Replies (1) \| Respond to of 118717

It's funny to note the comparisons between UNG and UUP. Both indexes have gotten crushed, but they could slip past the 50 dma's and look very bullish. At the same time they are running out of shares to meet demand, which creates unbelievable short covering potential. There are still supply gluts in both nat gas and dollars - which makes them the biggest underperformers of 2009. So, I keep fighting the contrarian urge to start a position. Still, I see a nice 10 to 15% move in both indexes by the end of the year, if not the end of February. $24 on the UUP and $10 on the UNG seem almost inevitable. I think quant strategies look pretty attractive right now. Buy the out of favor assets selling near 52 week lows. Over the long term, who doesn't need nat gas or money. I think the reflation of the US dollar also brings more foreign investment into the US markets.