Friday, December 21, 2012

Gold miners

I short Gold miners via being long DUST. DUST is 3x bearish Gold miners ETF. I bought DUST at $27.90 and I am holding it as of now at 35.51$. I monitor my DUST position using GDX charts. I would be out of DUST on the break of my 17 EMA (indicated by "A" on the chart). I would consider buying a small amount of GDX on the 1st trendline break, for trading (short term). I would really consider investing (means holding in Intermediate/ long term) only on a trendline break above the 3rd trendline. Till these breaks happen, hold the shorts on GDX.

Click on the chart for bigger view

All 3x instruments should be considered trading tools only, 3x instruments should never be considered "hold" instruments or investing instruments. It is also prudent to have a stop/ stop loss on all such instruments. Good luck to you!

Subscribe here and follow by Email