JUL09.GAS.OVER$2.50

Ive been watching this contract, I sold 2 in the 60's, according to the site the average is 2.49, which is below 250 so why is it 60 bid when its not even in the money yet? i feel like im being had here, a too good to be true senario, any explanations anyone?

damn now it traded 75 and its 72 bid? anybody have an explanation?

Gas prices are not random. Their movements are somewhat predictable, based on the season, oil prices, and wholesale gasoline prices. Obviously someone thinks they will continue to rise through the rest of the month.

This is why it is 72 bid. Notice anything?

7/21 - 2.458
7/22 - 2.461
7/23 - 2.465
7/24 - 2.470
7/25 - 2.481
7/26 - 2.492

well the contract is for above 2.50, its not even above it yet, and its already bid so much higher, i guess the person does have more information than any of us, I was stupid to sell. lesson learned. still holding out hope though .

In futures trading yesterday the gas was down 3 cents, and today another 7 cents as there was a large increase in stocks. Im not sure how long it takes to hit the system, does anyone have any idea if this would affect the contract expiring this week?

I am not 100% sure of this, but futures can be anywhere from 1 to 3 months. I believe those bids are on the oil that is coming out of the ground right now, so you have to calculate shipping time via tanker across the Atlantic or Pacific.