Yesterday the premium of UNG versus november NG futures seen the premium to be so low... just a 1,2%. At the close was a bit bigger, 2,08%.
We can't imagine for now a big rebound at 10% or higher. So we can do just some small bet in area 2,5%/3% max, in intraday a note however a fluctuation of 1/1,5% so there is a margin for a trading/scalping to capture a 0,25/0,5% in each trade. I did yesterday 3 times in few hours.
Was a nice trade, as we said in august "in September we could look back at August and remember this incredible opportunity" and some of you made the arbitrage when the premium was at the top... 20,5%... nice trade.
See you next post.