Benzinga | Aug 19, 2020 07:16AM EDT

'Fast Money' Traders Weigh In On Natural Gas Stocks

On CNBC's "Fast Money," Chris Verrone of Strategas and Jeff Mills shared their natural gas trades.

Verrone thinks natural gas has more room on the upside after it broke above its multi-year downtrend. He said it could move up to $3. Besides the technical set up, Verrone likes it because of its seasonality as it usually performs well in September and October.

He wants to buy Range Resources Corp. (NYSE:RRC) and EQT Corporation (NYSE:EQT) as a way to play a move higher in natural gas.

For Range Resources, Verrone is looking for a move to $12. The stock only has two Buy ratings among 26 analysts covering it, so there are no worries about too excessive sentiment for the stock, explained Verrone. EQT is quietly starting to get a little bit better and Verrone sees a potential move to $24 or $25.

Jeff Mills agrees that natural gas could move to $3. He likes EOG Resources Inc (NYSE:EOG) as a way to trade a move higher in the commodity.