Direxion Daily Gold Miners Index Bull 2X Shares Stock Discussion

• Fat ginger cat : leave before 2 p.m.?

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• 10baggerbamm OP Fat ginger cat : this is the second day above the 20-day moving average to the upside yesterday it didn't close above the 20-day because the market dumped.
  I think if we catch a rally in the 10-year meaning the yields drop gold's going to fall which means this basket will correct lower.
  if the 10-year continues to spike gold's going to go up with it as a safe haven in which case this ETF rises
  I know that's not giving you an answer that you want and that's because we're dealing in such short term movements now it almost becomes a crapshoot if you bought it and you're up several dollars take your money and run do not leave profits in this basket take all the money out and go.
  you have to understand that when Trump gets in office gold is going to have some wild swings ahead of it.
  he said yesterday at the q&A if when he gets in office and he does not mean day one because he corrected the reporter who said when you get an office your first day he says no when I am in office..
  if Iran hasn't released those hostages they will have hell to pay .
  gold is going to rally if I ran does not release these hostages before he is in the office like the day before everyone's going to wait for that 12:00 midnight clock to strike
  I think you're going to see gold up $20 $30 maybe on a spike if they release the hostages gold's going to drop because Trump will bomb the shit out of Iran he'll send cruise missiles the ships are outside the waters still protecting Israel he'll have a mission and he'll take out key infrastructure or or he will put so many sanctions against Iran through China and Russia and everybody they're selling oil to he'll lay the law down if you buy any oil from Iran we are going to put tariffs on everything we will break your country economically so Trump has the ability to bomb a country with missiles or bomb them economically with negotiating from a position of strength with the world leaders that are doing business with Iran.
  so there's going to be big swings in the price of gold and this ETF potentially the day before he's in office if hostages are released or not and the first week depending upon what's going to happen what will he say he is going to do to Iran if they haven't released hostages.
  that's like playing a roulette wheel and you can be on the right side of the move or the wrong side and that gets more to gambling than looking at a chart and saying it's in an upward trend it's on a support.
  so if you're at a point of a nice profit take it now because what's going to happen leading up to this inauguration and could be the first week could be the second week is going to move gold wildly it could be $100 swing and if you're on the wrong side of this trade with this ETF you're going to get screwed bad

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• Fat ginger cat 10baggerbamm OP : yeah I think fed’s meeting report is gonna be hawkish

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• 10baggerbamm OP Fat ginger cat : absolutely

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• modest Narwhal_1005 10baggerbamm OP : Thanks for the work. This is a blessing to understand how I can hedge with this.

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• modest Narwhal_1005 : would you also nibble at shny?

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• 10baggerbamm OP modest Narwhal_1005 : this ETF that you mentioned is more of a well-rounded basket it not only includes the large gold mining companies but also what they call the junior mining companies.
  as they say a rising tide lifts All ships so yes you could feel comfortable buying this ETF.
  if gold rises back to 27 28xx, this ETF will go up nicely.
  I will point this out I will not buy this basket this ETF.
  and the reasons very simple I only buy ETFs that have options.. I like to have the ability to add to a position potentially by selling puts and collecting the premium and I like the ability to sell covered calls against my long position to generate income as well.
  when you buy an ETF that does not have options it limits your total return to only having the basket increase in net asset value so with this particular ETF gold must rise in order for you to have a positive return on your investment.
  with nugt if gold just stays sideways I can sell puts and make money I can sell calls and make money and my total return over the course of say 3 months is going to be about 20%.
  if gold does nothing with this etf shny your returns going to be basically zero.
  that's why I need to have the ability to sell puts and sell calls and why I will not buy an ETF that does not have options

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• Kim10 : which broker do u use to trade margin ?

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• 10baggerbamm OP Kim10 : I don't use margin, I do use leverage with leveraged ETFs and options but I don't borrow against equity and use margin to obtain leverage

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• Kim10 10baggerbamm OP : you don't sell naked calls at all?

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• 赌神加股神 : Why can't this open x2 be bought and kept?

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• 10baggerbamm : patience pays off... when you think gold is down and out that's when institutions are buying it. it's highly manipulated. 46.32. that's going to be a potential near-term resistance. if it clears it it will cross right through 50

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• Fat ginger cat OP 10baggerbamm : why gold raised it drops though?

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• Fat ginger cat : Still holding

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• 10baggerbamm OP : here's a longer-term chart and even when the trend is lower which ideally you don't want to buy and hold something when it is gradually trending lower but even when it's trending lower if you bought it when it touched the blue line you made a profit you couldn't get to an oversold point you got to the middle moving average which is the little purple line. but anyway you want to take out your ginsu knife and chop it or cut it or slice it this works so I don't know if this time it's going to recover to an overbought condition but it's going to go back to the moving average because statistically using Bollinger bands 90% of the time the stock will trade in between the high and the low band those are pretty good odds to bet on think of the casino if you could bet on the side of the casino and be right 9 out of 10 times would you do it?

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