Ramie 6:39 am on Thursday, March 17, 2016

NUGT adding

Sold $NUGT Sep 16 105 call @ 17.30. Adding to position at the highest strike.

Jeff 6:42 am on Thursday, March 17, 2016

Thrill a minute. Now NUGT seems to be correlating with the S&P. Why, oh why?
- Ramie 6:46 am on Thursday, March 17, 2016
  
  Strange curveball. Relatively muted S&P reaction to FOMC, like overall it wasn’t much of a suprise, but gold reacted like it was a surprise. Never a dull moment!
  - vxxkelly 7:11 am on Thursday, March 17, 2016
    
    I suspect a bunch of people were expecting more hawkish comments and were short gold going into the meeting, so that massive move could have been them chasing to cover. If it was just driven by the dollar going lower, then that would have continued today, but it didn’t. Smells to me more like shorts were covering.
- rknight52 6:46 am on Thursday, March 17, 2016
  
  Can’t sell naked calls in my accounts and not seeing any good spreads with NUGT. Tried buying calls in DUST a while back and got “dusted” on those, so for those of us with limits on our accounts do you have any other ideas on trading NUGT? Or maybe I should just let the “dust” settle. 😉
  - Ramie 6:48 am on Thursday, March 17, 2016
    
    April 95/105 call spread at 1.65 (midpoint), although it’s a really wide bid/ask spread. 16% return in a month. Of course that’s only if NUGT doesn’t have another 40% in it between now and then 🙂
    - rknight52 6:55 am on Thursday, March 17, 2016
      
      The wide bid/ask for spreads is what gives me pause with that.
      - Jeff 6:58 am on Thursday, March 17, 2016
        
        Put in an order at mid point and let it sit. No fill, no big deal
        
        rknight52 7:23 am on Thursday, March 17, 2016
        
        I’ll look into it. The other problem is getting out of a spread trade if low volume and wide bid/ask.