What do you think about gold?

Discussion in 'Learn how to trade or invest by asking questions' started by farmerjohn1324, Apr 11, 2017.

  1. farmerjohn1324

    farmerjohn1324 New Member

    What are you opinions on investing in gold right now and why? And what do you think is the best investment vehicle for this?
     
  2. Acstudio

    Acstudio Well-Known Member won penny contest 44x won weekly contest 40x won weekly contest 41x simulator winner 20x

    I'm long gold but I'm always selling premium against it to reduce cost basis. GLD is probably the most liquid straight gold play without using futures.
     
  3. Sophie Bouvier

    Sophie Bouvier New Member

    In my observation, Gold has been on its good peak today. Especially that its been on its five weeks high.
     
  4. Swetrade1230

    Swetrade1230 New Member

    What are you looking for when you sell premium? Can you go on and do that all the time or do you have to wait for the right moment?
     
  5. Acstudio

    Acstudio Well-Known Member won penny contest 44x won weekly contest 40x won weekly contest 41x simulator winner 20x

    Number one is liquidity. If I can't get filled within a penny or two off mid price, per spread, I don't trade it. After that I trade primarily monthly options unless it's a binary event like earnings. I start out as close to 45 days to expiration as I can and I look for high Implied Volatility. When I pick a direction it usually is because I think something is at a price extreme and I'm going against it....meaning I short things that are going up and go long on things that are going down.
     
  6. Swetrade1230

    Swetrade1230 New Member

    Sounds good! When you said you sell premium against your long position in gold does it always mean you use the same strategy?
     
  7. MonthlyTrader

    MonthlyTrader New Member

    Acstudio,

    I am in day job, interested in trading stocks with 45 days holdings. only long side.

    Tasty trades has many episodes, looks complex to me. Please, recommend interesting episodes for stock pick for beginners long only and your favorite stock recommendation show.

    I can spend few hours a week to watch tasty trade episode.

    Thank you very much for your valuable time and generous & kind helps.
    Kumar
     
  8. ineedupticks

    ineedupticks Member won penny contest 2x won weekly contest 2x

    You can sell premiums at anytime depending on the strategy you're using-

    You can use vertical spreads, calendar spreads, butterflies, etc if you're primarily dealing with options. This is great at reducing time decay. I trade a lot of options going out anywhere from same day to 6 weeks and depending on what my timeframe is, I'll open the trade as a spread instead of a straight call or put.

    If you're working with equities/etf you can always sell calls to hedge your position if you think price is going to dip etc or you can just always sell out the money options against your position for consistent income.
     
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