The Case for Natural Gas. AND a new trade with BOM ...

5 October 2012

The Case for Natural Gas. AND a new trade with BOM ...

Most energy market analysts agree that the bottom is in for natural gas prices (at about $1.90). But anyone not talking specifically at the long-term potential (a few years down the road) seems a bit hesitant to predict significantly more upside for the price.

If natural gas is seen to be the non-alternative energy of the future, why not get onboard now with an investment?

For starters, increased natural gas production is only part of the problem. Domestic demand is slow to increase due to lengthy periods required to bring new infrastructure online. But that is in the process. And then consider the rest of the world ...

 

US natural gas supplies are pretty much locked in the US - there is not yet a readily accessible process for exporting the gas. The reason is partly technological and partly political.

Commodities Essential. 5 October 2012

Trade Essentials.

Targeting a short-term downside move in copper and base metals by using the PowerShares DB Base Metals Double Short ETN (BOM). Here is what I suggest you consider doing now:

 

BOM (Last price: $11.80)

Buy shares of PowerShares DB Base Metals Double Short ETN, symbol BOM, at the market. Then place an order to SELL ALL your shares of DB PowerShares Base Metals Double Short ETN, symbol BOM, at $11.09, STOP; this order is good till cancelled.