“The legacy of negative interest rates. If I pay you to hold my money, I am declaring my money unsound. The gold price agrees.”
— Chris Carolan, @spiralcal
The fact that investing in gold doesn’t pay interest has been a strong argument against the Midas metal for ages. But the spreading of calamitous negative yields, as sovereign nations apply beggar-thy-neighbor policies to push on a string and debase their currencies in hopes of spurring slowing economies, sparked gold to reach 6-year highs earlier in the week.
We shall see if there are any winners in the race to the bottom. Gold is affirming its historic role as a store of value.
“What is life but playing with time..?”
— Keith Richards
We’re heading up to LA for a few days to see our ‘kids,” celebrate our 31st Wedding Anniversary, and jam with the Stones!:-)
Their sound is timeless and always great to hear. In my opinion, the old musicians are better than the old athletes; they can still play.
Investing is something done over time. Speculators must be keenly aware of time. Options are wasting assets, whose time decay accelerates over the last few weeks of their life.
In life, time truly flies. We’ll be trying to slow it down a bit over the next few days, before we pick up the scrapings and get back to work.
Best regards and gold rings on ya,
“Superleverage, it’s the only sensible way to speculate.”
— Paul Sarnoff
With Comic-Con in town, this struck me as a natural subject. Superleverage is the art of profiting from changing prices, with limited risk AT ALL TIMES, without ever getting a margin call, asked to put up additional funds, or forced to liquidate your position.
The instruments of Superleverage are exchange traded put and call options.
Buyers of puts and calls are the ONLY ONES who possess the full profit power of Superleverage.
The Superleverage power of our method was on display again today, as our call on Barrick Gold Corp. (GOLD) closed +296% in a month, with an always known and strictly limited risk!
The underlying shares have made a nice move, from $13.89 to $17.35, propelling our recommended GOLD September $14 call option from $85 to $337!
If this is the type of options action you’re looking for, subscribe to Options Hotline today.
Photo credit: Paperny Entertainment
“Finding winners, especially big winners, is a process of discovery. The losing trades are an integral part of that process.”
— Peter Brandt, @PeterLBrandt
Our recommended call option on Barrick Gold (GOLD), triggered 06-17-19 at $85, traded this morning at $280, +229% in less than a month, with an always known and strictly limited risk!
If that’s the type of options action you’re looking for, subscribe to Options Hotline today.
Chart by Steven Sarnoff, h/t stockcharts.com
“Folks using intraday charts to call the top of a gold move that is unfolding on monthly charts is hilarious. Y’all are doing it backwards!”
— Chris Carolan, @spiralcal
Options Hotline Update, FYI: Our recommended Father’s Day call on Barrick Gold Corporation (GOLD), emailed Sunday evening to our subscribers, triggered 06-17-19 at $85 with GOLD at $13.86, traded 06-21-19 at $206 with GOLD at $15.68, +142% in 4 days on a 13% move in the underlying shares, with an always known and strictly limited risk!
That’s the Superleverage power of my method on display. If this is the type of options action you’re looking for, subscribe to Options Hotline today to see how we stay a step ahead of the crowd.
The character of the behavior of price movement in gold is telling us a big longer-term breakout is in play. Former resistance (supply) now represents underlying support (demand). The strong red candles on my weekly chart above depict this vividly.
It’s important to view price movement from different time perspectives: monthly, weekly, and daily. Consider the lines of average price movement, along with price movement irrespective of time and you begin to approach a complete picture.
Options Hotline Update, FYI: Our recommended call on Barrick Gold Corporation (GOLD) trades +131% in 3 days, on a 12% move in the underlying shares, with an always known and strictly limited risk.
Market moves accelerated following a friendly Fed statement. Falling Treasury bond yields are weighing on the US dollar. This is helping boost stock prices and it benefits gold, as well.
“We typically trade our beliefs about the market, and once we’ve made up our minds about those beliefs, we’re not likely to change them. And when we play the markets, we assume that we are considering all of the available information. Instead, our beliefs, through selective perception, may have eliminated the most useful information.”
— Van K. Tharp
You are the most important factor in your success. Understand and overcome your biases. Use a trading system that’s right for you.
I believe that mind, method, and money management are the cornerstones of your complete game plan for trading success.
FYI: Our latest option recommendation, on Barrick Gold Corporation (GOLD), is trading +30% in one day on a 2% move in the underlying shares, with an always known and strictly limited risk!
That’s the Superleverage power of my method on display.
If that’s the type of options action you’re looking for, click here to subscribe to Options Hotline today.
Let me know if you have any questions. My email never sleeps.
Good luck in your trading!
Paul Sarnoff in the early-1980s
“The way things are going, you’d better have at least ten percent of your assets in gold.”
— Paul Sarnoff
The Midas metal is perking up. It could be that time, again.
Subscribe to see how Options Hotline readers are positioning to vie for fun and profit.
Happy Father’s Day! I’m remembering my dad today. Throughout my life, he reminded me, “The greatest gifts a father can give his child are roots and wings.”
“Gold is still significant. I ask myself, if it’s a relic of a long history, why is there a trillion dollars held in gold by the world’s central banks plus the IMF and all the other financial institutions? If it’s worthless and meaningless, why is everybody still holding it?”
— Alan Greenspan
A few weeks ago, we posted about gold. The Midas metal continues to be a store of value and is trading at a 10-month high.
Our recommended precious metals play for Options Hotline subscribers (triggered 02-04-19) is trading +95% in less than 3 weeks, with an always known and strictly limited risk.
If you want to subscribe, sign up here to see what our next move is.
“They wonder much to hear that gold, which in itself is so useless a thing, should be everywhere so much esteemed, that even men for whom it was made, and by whom it has its value, should yet be thought of less value than it is…”
— Sir Thomas More
The Midas metal, a longstanding store of value, often shunned by investors, is showing signs of shining anew.