Gold Trade – For The Last Time

I suggested some months ago to buy gold and gold related stocks. Since then the price of gold, and performance of the related miners has gone nowhere but down…and down….and then down even more.

I lost $1500.00 bucks in options that expire today – likely the largest “losing trade” I’ve made in many months.

Putting this in perspective – I see $1500.00 (+/-)  flash on my screens  a few times a week (if not daily) as it represents “peanuts” in the grand scheme of things. I spent about a week watching the trade go against me before I put it aside in the “whatever” category and got on with my work – banking some of the best returns of my life over the same period of time via the currency trading.

The plain fact of the matter is… regardless of price – in the current “print til you can’t print anymore” environment – there is absolutely no reason to own gold. There is no fear. There is no “need to store value” while stocks are blasting to the moon! People (including myself) are making money hand over fist in a number of areas as gold bugs continue to debate/rationalize/haggle the reasons as to why their “all in bets” on the shiny metal haven’t made them rich – but more so bust their accounts.

Its foolish investing. It’s gambling. It’s naive and its completely irresponsible.

Bottom line – gold will make it’s move when stocks and “risk” tanks. And from what I gather – the FED is gonna work pretty damn hard to make sure that doesn’t happen……. anytime soon.

I do plan to “re enter” and take another shot at gold and related names – but as seen a week ago when gold popped some 30 bucks on the big DOW DOWN DAY – it looks pretty obvious to me that we won’t see a move in gold – until we see some serious fear enter the market – regardless of where the USD is at.


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