GDXU provides 3x daily leveraged exposure to a market-cap weighted index comprised of two gold miners ETFs.
Weekly Recap | Barrick Mining -6.57%, gold weakness drags miners
Weekly Recap | Wheaton Precious -9.9%, consensus target above spot
Weekly Recap | Gold Fields -8.01%, softer bullion deepens the pullback
Weekly Recap | Pan American Silver -9.18%, silver hits seven-month low
Weekly Recap | GDX.US -8.56%, some puts surge
Weekly Recap | AngloGold Ashanti -9.94%, most brokers rate it buy
$VanEck Gold Miners ETF(GDX.US)
Background: Gold also experienced a significant downturn this week, hitting a low of 82.4. My mindset for holding gold is for safe defense; I continue to hold despite the drop.
My actions: No position increase or decrease. Stay calm.
Insights: Gold has strong support around 4100. Gold should be allocated no more than 10%; exceeding this is not a safe allocation and makes it hard to maintain a stable mindset, as volatility is considerable.
$VanEck Gold Miners ETF(GDX.US)
Gold dipped at the start of the week amid a US Treasury bond panic before stabilizing.
I decisively bought into GDX, treating it as a gold futures proxy with 1.5-2x leverage. Not that it actually has leverage, but its volatility is 1.5-2x higher in performance.
I tend to favor it over pure commodities when trends are clear.
Of course, I also buy it in combination with others, using them as detectors for market sentiment.
.🥇 Part 1: My Gold Wheel Strategy — Selling Cash-Secured Puts and Covered Calls on Gold🐶 My Options Puppy Approach to Gold🐶 I have always liked the idea of using options not only to speculate, but als...
