Trading a UNG straddle lets you take a pure volatility position on United States Natural Gas Fund without committing to a direction. United States Natural Gas Fund's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate UNG straddle pricing in real time and find the moments when expected moves are mispriced.
A long straddle on UNG profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when United States Natural Gas Fund stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the UNG straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.
The fund invests primarily in futures contracts for natural gas that are traded on the NYMEX, ICE Futures Europe and ICE Futures U.S. (together, “ICE Futures”) or other U.S. and foreign exchanges. The Benchmark Futures Contract is the futures contract on natural gas as 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.
Earnings, product cycles, macro prints — any time volatility itself is the trade, the UNG straddle is the cleanest expression of that view. Our scanner prices every UNG straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a UNG straddle into a catalyst or short a UNG straddle to harvest decay, the options straddle setups that matter are all in one place.
