Buy GLD via a vertical call spread Oct 99/104, GLD around 99.0 when filled.
long the Oct 99 call, short the Oct 104
This is five wide vertical so the cost is lower than a ten wide. ThinkorSwim software shows 50% chance of 103 being touched and that would be the first upside target. I do not see a need for a stop-loss on a vertical call spread.
Readers know that my trading style tends to be that of a "singles hitter," mostly low risk, low reward trades, as opposed to a "home run slugger" that takes on big risk for big rewards. This breakout in GLD is testing me. Greed and fear flow freely on these intraday moves. I remind myself that the trend is up, and the old cliche, the trend is my friend. That big moves tend to be rare, only time will tell if this is a big move, and that to take a shot at some bigger profits when my indicators are lined up.
Long GDX, GLD (2 positions)
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