January 20, 2011 – Look What I'm Seeing in Gold

Featured Trades: (GLD)

2) Look What I'm Seeing in Gold. Call this a 'rolling top' or a 'head and shoulders top', but it is a top nonetheless, which is making my bear put spread of the gold ETF (GLD) look smarter by the day. If our current sell off is truly a binary 'RISK OFF' development rather than a reshuffling of the deck among asset classes, then the barbarous relic should swan dive along with everything else. This then provides my bearish gold position the additional merit that it will tend to hedge my remaining longs in other asset classes during any continuing weakness. Just thought you'd like to know.


Is a Short Gold Position a Hedge for everything else?

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