“The U.S. Natural Gas ETF (NYSE:UNG) is trading lower this morning by 0.09 to 7.45. While the natural gas ETF has struggled on the daily chart over the past year it has rallied recently. There will be intra-day support around the 7.43 level for the (NYSE:UNG) and much stronger intra-day support around the 7.25 level should the (NYSE:UNG) trade down there,” In The Money Stocks Reports.

“Natural gas prices are trading near historic lows after a relatively mild winter and a high production capacity that continues to build significant reserves. In fact, the price to produce natural gas at many wells exceeds the market price of the commodity in recent months. As a result, many of these firms are also expecting demand recovery,” Simon Monger Reports From Sum Folio.

Monger goes on to provide a leveraged play on the commodity ETF if you want to bet on rising prices, “One popular way to play a rise in natural gas is by purchasing the United States Natural Gas Fund, LP (NYSE:UNG), which is a limited partnership that seeks to mirror changes in the spot price of natural gas. Investors looking for even more leverage may want to look at the January 2011 calls with an $8.00 strike price, which are currently trading at $1.09 per contract.”

Christian Paolinetti from The Traders Huddle also reported some interesting action on the Natural Gas ETF and said “The (NYSE:UNG) has been able to base for the last month or so, with a range between $6.50 and $7.50, therefore a breakout above the 50 day moving average could put the UNG on breakout territory, and probably sparking a good momentum move. The June $8 call was purchased over 10,000 times last Friday; open interest on the strike is over 70,000 contracts, therefore definitely bullish bets are being made on the UNG.”

We have included some more details on the U.S. Natural Gas ETF (NYSE:UNG) including a snapshot of some options activity below:

The United States Natural Gas Fund, LP (“UNG”) is a new way for investors and hedgers to manage their exposure to energy. The United States Natural Gas Fund LP (UNG) is an exchange traded security that is designed to track in percentage terms the movements of natural gas prices. UNG issues units that may be purchased and sold on the NYSE Arca.

The investment objective of UNG is for the changes in percentage terms of the units’ net asset value to reflect the changes in percentage terms of the price of natural gas delivered at the Henry Hub, Louisiana, as measured by the changes in the price of the futures contract on natural gas traded on the New York Mercantile Exchange that is the near month contract to expire, except when the near month contract is within two weeks of expiration, in which case it will be measured by the futures contract that is the next month contract to expire, less UNG’s expenses.  

Strike Symbol Last Chg Bid Ask Vol Open Int 3.00 UNG100522C00003000 4.00 0.00 4.15 4.25 0 52 4.00 UNG100522C00004000 3.30 0.00 3.20 3.25 0 219 5.00 UNG100522C00005000 2.24 0.34 2.20 2.24 1 891 6.00 UNG100522C00006000 1.22 0.34 1.21 1.24 113 4,336 7.00 UNG100522C00007000 0.28 0.29 0.26 0.28 7,136 46,049 8.00 UNG100522C00008000 0.01 0.03 N/A 0.01 4,527 66,262 9.00 UNG100522C00009000 0.01 0.00 N/A 0.01 17 15,125 10.00 UNG100522C00010000 0.01 0.00 N/A 0.01 0 2,640 11.00 UNG100522C00011000 0.01 0.00 N/A 0.01 0 726 12.00 UNG100522C00012000 0.01 0.00 N/A 0.01 0 1,100 13.00 UNG100522C00013000 0.01 0.00 N/A 0.01 0 254

Strike Symbol Last Chg Bid Ask Vol Open Int 4.00 UNG100522P00004000 0.01 0.00 N/A 0.01 0 1,141 5.00 UNG100522P00005000 0.01 0.00 N/A 0.01 0 3,781 5.00 UNY100522P00005000 0.01 0.00 N/A N/A 0 3,781 6.00 UNG100522P00006000 0.01 0.00 N/A 0.01 4 38,291 7.00 UNG100522P00007000 0.05 0.02 0.04 0.05 6,381 43,472 7.00 UNY100522P00007000 0.03 0.00 N/A N/A 1,808 42,550 8.00 UNG100522P00008000 0.78 0.29 0.77 0.78 1,761 11,638 9.00 UNG100522P00009000 1.78 0.34 1.76 1.79 20 6,116 9.00 UNY100522P00009000 1.53 0.00 N/A N/A 20 5,966 10.00 UNG100522P00010000 2.46 0.00 2.76 2.79 47 422 11.00 UNG100522P00011000 3.30 0.00 3.75 3.80 8 129 11.00 UNY100522P00011000 3.50 0.00 N/A N/A 7 160 12.00 UNG100522P00012000 4.75 0.06 4.75 4.80 5 143 12.00 UNY100522P00012000 4.69 0.00 N/A N/A 0 187 13.00 UNG100522P00013000 5.78 0.00 5.75 5.80 0 284

Strike Symbol Last Chg Bid Ask Vol Open Int 3.00 UNG100619C00003000 4.60 0.00 4.20 4.25 2 3 4.00 UNG100619C00004000 3.40 0.00 3.20 3.25 0 304 5.00 UNG100619C00005000 2.49 0.00 2.21 2.24 3 320 6.00 UNG100619C00006000 1.26 0.32 1.25 1.28 215 2,646 6.00 UNY100619C00006000 1.57 0.00 N/A N/A 7 2,593 7.00 UNG100619C00007000 0.51 0.22 0.50 0.51 2,412 31,638 8.00 UNG100619C00008000 0.14 0.10 0.15 0.16 3,282 29,549 8.00 UNY100619C00008000 0.24 0.00 N/A N/A 8,320 23,462 9.00 UNG100619C00009000 0.05 0.03 0.05 0.06 31 6,316 9.00 UNY100619C00009000 0.08 0.00 N/A N/A 0 6,011 10.00 UNG100619C00010000 0.02 0.00 0.02 0.03 150 4,237 11.00 UNG100619C00011000 0.02 0.00 0.01 0.02 0 288 12.00 UNG100619C00012000 0.01 0.00 N/A 0.01 5 45

Strike Symbol Last Chg Bid Ask Vol Open Int 4.00 UNG100619P00004000 0.02 0.00 N/A 0.01 0 231 4.00 UNY100619P00004000 0.02 0.00 N/A N/A 0 231 5.00 UNG100619P00005000 0.01 0.00 N/A 0.01 500 1,298 6.00 UNG100619P00006000 0.05 0.02 0.04 0.05 183 10,662 6.00 UNY100619P00006000 0.05 0.00 N/A N/A 10 10,884 7.00 UNG100619P00007000 0.28 0.09 0.27 0.28 3,762 17,622 7.00 UNY100619P00007000 0.20 0.00 N/A N/A 1,155 15,891 8.00 UNG100619P00008000 0.93 0.24 0.92 0.93 545 7,221 9.00 UNG100619P00009000 1.81 0.30 1.82 1.83 48 1,056 9.00 UNY100619P00009000 1.59 0.00 N/A N/A 353 886 10.00 UNG100619P00010000 2.66 0.19 2.79 2.81 5 277 11.00 UNG100619P00011000 3.50 0.00 3.75 3.80 7 166 11.00 UNY100619P00011000 3.50 0.00 N/A N/A 7 166 12.00 UNG100619P00012000 4.75 0.40 4.75 4.85 5 33 12.00 UNY100619P00012000 4.65 0.00 N/A N/A 0 13

ETFs offer an easy way to play Natural Gas and there are many options available besides the most popular US Natural Gas ETF (NYSE: UNG).  We have listed some options for investors to look at and compare to one another below.  Note that we have listed some industry related ETFs as well as direct Natural Gas exposure plays excluding any leveraged ETFs.       

United States Natural Gas Fund (NYSE:UNG)         

The United States Natural Gas Fund, LP (“UNG”) is a new way for investors and hedgers to manage their exposure to energy. The United States Natural Gas Fund LP (NYSE: UNG) is an exchange traded security that is designed to track in percentage terms the movements of natural gas prices. UNG issues units that may be purchased and sold on the NYSE Arca. The investment objective of UNG is for the changes in percentage terms of the units’ net asset value to reflect the changes in percentage terms of the price of natural gas delivered at the Henry Hub, Louisiana, as measured by the changes in the price of the futures contract on natural gas traded on the New York Mercantile Exchange that is the near month contract to expire, except when the near month contract is within two weeks of expiration, in which case it will be measured by the futures contract that is the next month contract to expire, less UNG’s expenses.         

United States 12 Month Natural Gas (NYSE:UNL)         

The investment seeks to reflect the changes, net of expenses, of the spot price of natural gas delivered at the Henry Hub, Louisiana, as measured by the changes in the average of the prices of 12 futures contracts on natural gas traded on the NYMEX. The fund will consist of the near month contact to expire and the contracts for the following eleven months, for a total of 12 consecutive months contracts, except when the near month contract is within two weeks of expiration, in which case it will be measured by the futures contract that is the next month contract to expire and the contracts for the following eleven consecutive months.         

iPath DJ-UBS Natural Gas TR Sub-Idx ETN (NYSE:GAZ)         

The investment seeks results that correspond generally to the price and yield performance, before fees and expenses, of the Dow Jones-UBS Natural Gas Total Return Sub-Index. The note is designed to reflect the performance of natural gas. The index is composed of the Henry Hub Natural Gas futures contract traded on the New York Mercantile Exchange.         

First Trust ISE-Revere Natural Gas Idx (NYSE:FCG)         

The investment seeks to replicate, net of expenses, the ISE-REVERE Natural Gas index. The fund invests at least 90% of assets in common stocks that comprise the index. The index is an equal-weighted index that consists of exchange-listed companies that derive a substantial portion of their revenue from the exploration and production of natural gas. The fund is nondiversified.         

iShares Dow Jones US Oil Equipment Index (NYSE:IEZ)         

The investment seeks results that correspond generally to the price and yield performance of the Dow Jones U.S. Select Oil Equipment & Services index. The fund generally invests at least 90% of assets in securities of the Underlying index and depositary receipts representing securities of the Underlying index. It may invest the remainder of assets in securities not included in the Underlying index but which BGFA believes will help the fund track Underlying index, and in futures contracts, options on futures contracts, options and swaps as well as cash and cash equivalents, including shares of money market funds advised by BGFA. It is nondiversified.         

Jefferies | TR/J CRB Wildcatters Exploration & Production Equity ETF (NYSE:WCAT)         

The investment seeks investment results that replicate as closely as possible, before fees and expenses, the price and yield performance of the Thomson Reuters/Jefferies CRB Wildcatters Energy E&P Equity index. The fund normally invests at least 80% of total assets in the equity securities that comprise the underlying index and depositary receipts based on the securities in index. The index is designed to track the overall performance of a universe of listed U.S. and Canadian small and mid-capitalization companies engaged in the exploration and production of oil and natural gas. The fund is nondiversified.

Related posts:

1. The Tale of Natural Gas Contracts, Natural Gas ETF (NYSE:UNG), Claymore Natural Gas ETF, and Gas Producers
2. Natural Gas Futures Support Potential For Long Term Reversal Of The Natural Gas ETF (NYSE: UNG)
3. The U.S. Natural Gas ETF (NYSE:UNG) May Not Be The Best Choice To Play A Bottom In Natural Gas
4. The Natural Gas ETF (NYSE:UNG) Higher On A Lighter Than Expected Build
5. The Natural Gas ETF (NYSE:UNG) Continues To Enjoy Gains On The Lighter Storage Report

UNG