Tuesday, June 30, 2009

Bought Some Natural Gas (Finally)

After being extremely patient with this (I think it will pay off), I bought back into natural gas (UNG). I've talked at length about my thought process here (just click the Natural Gas tag to read my posts about it). This could take some time, but I feel this will pay off. There is a lot of excess supply of natural gas, but production is being shut off to balance out supply vs. demand, and that will take a little time.

But the bottom line here is natural gas is a viable resource and gaining more traction with Washington all the time. It is going to play a major role in our energy plan moving forward, and I feel investors can make some money here.

Before today, I had no shares, so this is just a beginning purchase at 13.97. I feel anything under 14 is a good buy. If it falls further, I will pick up more shares. As I've said before, I'd like to hold a core position in this which I plan to hold for some time (until prices move substantially higher), but also some trading shares to buy and sell while it just bounces within its current range.

Disclosure: UNG

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