| To: Julius Wong who wrote (115195) | 10/5/2021 10:18:22 AM | | From: Sun Tzu | | | | Same difference. Whether you trade it or not, the information contained in a long term leveraged fund chart is unreliable. GDX is what moves. NUGT and DUST are its shadows and are distorted.
Here are two charts to illustrate the point. The first is a 7 week chart and you can sort of do technical analysis on the leveraged fund NUGT, but even so, it is still much better to do it on GDX.
The 2nd is a 5 year chart and you can clearly see that while the two are correlated, the TA relationship completely breaks down when you look at NUGT vs GDX.
7 Weeks
5 Years
 |
| | Gold Price Monitor | Stock Discussion ForumsShare | RecommendKeepReplyMark as Last Read |
|
| To: rdkflorida2 who wrote (115192) | 10/8/2021 7:24:34 AM | | From: Rarebird | | | | GDX and GDXJ are successful short sales 75% of the time. The Miners are poor hedges, in a down market. As a currency, Bitcoin has supplanted Gold.
One can analyze it or over-analyze it any way you like, in terms of interest rates, USD, etc.
I am just stating the facts.
One can make huge $$$ in the Miners every 4 years or so for about 6 months. Then get out and short the Miners. |
| | Gold Price Monitor | Stock Discussion ForumsShare | RecommendKeepReplyMark as Last ReadRead Replies (1) |
|
| To: Rarebird who wrote (115198) | 10/8/2021 7:29:05 AM | | From: rdkflorida2 | | | | | Not sure which board I posted on, but I thought GDX would go down into the $20s. Doubt it has bottomed so I will just watch for now. TWT. Thanks for your input. RDK |
| | Gold Price Monitor | Stock Discussion ForumsShare | RecommendKeepReplyMark as Last Read |
|
| To: Rarebird who wrote (115200) | 10/8/2021 7:39:42 AM | | From: Rarebird | | | | It is so simple, it becomes so complicated for the Gold bug. Rates are rising, dollar is rising. This is bearish for the Miners.
I am in the business of making as much money as possible in the financial markets while recognizing and minimizing risk.
All the hardcore gold bugs do is provide excuses for why the Miners are declining. I have heard all the excuses over the years and I am sick of listening to them.
I am only interested in the bottom line.
The Miners are early cycle plays that one should get long during the transition from recession to growth.
Otherwise, they are short sales. |
| | Gold Price Monitor | Stock Discussion ForumsShare | RecommendKeepReplyMark as Last Read |
|
| |
