The gold futures chart is still
downtrend and so are many metals (see chart captured from Finviz.com on November
20, 2013).
There was a slight rebound middle of
last month (October) when most folks thought there will be a tapering of Q.E
(Quantitative Easing); supposedly the FED (Federal Reserve, central bank of United
States) will stop buying bonds. Now the stocks are still very bullish and gold
is bearish. The news are not helpful either. Read this piece from Bloomberg:-
|
Billionaire hedge fund manager John
Paulson,
who cut his gold holdings by more than half in the second quarter, maintained
his bet on the metal over the next three months as prices rebounded.
Global bullion demand
tumbled 21 percent last quarter as investors pulled 118.7 metric tons out of
ETFs and similar proucts, World Gold Council data show.
Billionaire hedge-fund
manager John Paulson, founder of Paulson & Co. Paulson’s PFR Gold Fund
fell 16 percent in September, bringing the 2013 decline in the $350 million
fund to 62 percent, according to a report to investors obtained by Bloomberg
News in October.
Paulson & Co., the largest investor in
the SPDR Gold
Trust (GLD),
the biggest exchange-traded product for the metal, held 10.23 million shares
as of Sept. 30, unchanged from June 30, according to a government filing
yesterday. Billionaire George Soros took a stake in
the Market
Vectors Gold Miners ETF. (GDX)
|
So for me, I will buy call or put option,
single direction method, base on the trend of the stock (or ETF). Whether the
big boys are collecting or holding their positions in these gold ETF, I will
base on the chart patterns with technical readings to do my option trades.
For
more optionable ETF, see below.
Watch list
How to
scan the market with so many thousands of stocks?
Why not
try the ETF? But then there are a lot of ETF so which are the ones qualify to
buy their options?
Here are
some good ones we can watch out:-
|
INDEX ETF
|
|
DIA
|
SPDR Dow Jones
Industrial Average
|
|
QQQ
|
PowerShares QQQ
Trust Series 1
|
|
IWM
|
iShares Russell
2000 Index
|
|
SPY
|
SPDR S&P 500
|
|
SECTOR ETF
|
|
|
IYR
|
iShares Dow Jones
U.S. Real Estate Index
|
|
XRT
|
SPDR S&P Retail
|
|
XLY
|
Select Sector SPDR
Consumer Discretionary
|
|
XLE
|
Select Sector SPDR
Energy
|
|
XLF
|
Select Sector SPDR
Financial
|
|
XLV
|
Select Sector SPDR
Health Care
|
|
XLI
|
Select Sector SPDR
Industrial
|
|
XLB
|
Select Sector SPDR
Materials
|
|
XLK
|
Select Sector SPDR
Technology
|
|
XLU
|
Select Sector SPDR
Utilities
|
|
COMMODITIES ETF
|
|
|
USO
|
US Oil Fund
|
|
IAU
|
iShares Gold
|
|
GLD
|
SPDR Gold
|
|
SLV
|
iShares Silver
|
|
GDX
|
Market Vectors
Trust Market Vectors Gold Miners
|
For
more information on how to pick stocks or ETF which are optionable as well as
would qualify option buying criteria, go to my page here >>
