21 Comments

great example of contango(decay) nat gas. look the UNG and Boil 2x nat gas it takes long positions using derivatives. Regardles Crudes been trading as of lats between 73-78 dollar range. Will it break out? of course but only after "they" allow it. Knowledge is power. Its a casino.

Expand full comment

So, if you follow that hypothesis, would you extrapolate that over onto miners and especially Jr. miners? Just looking at things from a different angle.

Thanks

Later Jay

Expand full comment

contracts that expire at later dates are more expensive than those of the nearby month.

Expand full comment

yes its all derivatives but not 2x like boil. but ive done the same with barricks gold buy in the 15's cash out 16-'s repeat. ive done very well. hold nothing long imo play theyre game buy the big dips after it runs up 4-6% cash out rinse repeat. its all rigged.

Expand full comment

Thank you Sir!

Later Jay

Expand full comment

my pleasure

Expand full comment

Great explanation Greg, makes a lot of sense. I think another sign of this is that most oil stocks have fallen less than the actual oil spot price, which indicates that traders don’t think the spot price will remain this low long term

Expand full comment

Recession, liquidity crisis... Crude higher? I'll pass.

Expand full comment

Yes because they’re going to keep pumping the system to prevent the liquidity crisis. The Fed is done hiking and they’ve admitted they’ll be cutting next year. They’ve already shown their hand, which is why the market is doing so well.

Expand full comment

The Fed overplayed their hand. They thought unemployment was too low but in fact it is just broken. Tightening into a recession, especially when the system is insolvent, could have some unintended consequences.

Expand full comment

Bull trap. Nobody can fix this hole. Not even the Fed.

Expand full comment

They don’t have to fix anything. The market will go higher the worse the economy gets. The best performing stock markets were Weimar Germany and Venezuela during hyperinflation.

Expand full comment

Is that the continuing inflate theory Greg always talks about? Man if they go there it's over. But I suppose we are at the end of this currency life cycle.

Expand full comment

It’s how debt based systems work. There can’t be deflation or else the system collapses

Expand full comment

Very interesting! Thank you for sharing this.

Expand full comment

investing in nat gas is a sham anyway people betting on cold weather for price to rise meanwhile the pos purveyors of the world modify all weather to suite their agenda21. global warming= weather modification

Expand full comment

Going long oil 🛢

Expand full comment

Just maybe so many are dying form the bioweapon shots so not so much gas is required. If this is so it will only get worse.

Expand full comment

Thanks for explaining. I've heard this on another channel and was wondering what it meant.

Expand full comment

What is the difference between contango and derivative!? They sound the same because they are future bets.

Expand full comment

So then the price of oil should continue downward for a little while longer and then a big upswing as prices will jump higher instead of incremental...

Expand full comment