Registered: Dec 2011
Posts: 962

Anyone buying GLD Calls and/or selling Bull Put Spreads in preparation for another Autumn Rally?
GLD has had a nice consolidation since May, between 150-160.
I've also read Open Interest in the Futures Market was at an extremely low level in July - normally a contrarian indicator.
On the attached chart I've marked the 2009, 2010, & 2011 Summer Lows, right before their Autumn Rallies began.

gld08102012.png
This has been downloaded 177 time(s).

Registered: Aug 2011
Posts: 3529

i'd think it was all about if the money is gonna keep getting printed.. which if you ask me i think its gonna be hard to knock obama out of office.. so the printing press will continue.. if you ask me it looks like a consolidating asymmetrical triangle.. you could look for volume confirmation on a break out.. or use a breakout strategy with options..

Registered: Dec 2011
Posts: 962

---

Quote from cdcaveman:

i'd think it was all about if the money is gonna keep getting printed.. which if you ask me i think its gonna be hard to knock obama out of office.. so the printing press will continue.. if you ask me it looks like a consolidating asymmetrical triangle.. you could look for volume confirmation on a break out.. or use a breakout strategy with options..

---

Good points.
I sold a few Jan GLD 150/149 Bull Put Spreads back in June, figuring the 150 level would hold. So far, so good.
I don't buy Single Options much any more, but am considering some GLD January Calls if GLD breaks out above 160.

Registered: Aug 2011
Posts: 3529

Back spread around a breakout resistance

Registered: Dec 2011
Posts: 962

Had another look at the attached GLD chart, and for the last 3 years there's not only been Autumn rallies into December, but also Winter rallies into March.
Based on those seasonal patterns, plus the dollar's current high level and the good chance of more money printing coming soon, I decided not to wait for a breakout above 160.
Started a long single option position today with a GLD March 175 Call.
Now we'll "wait and see" about that Breakout, for some confirmation.

Registered: Dec 2010
Posts: 67

But wasn't last December when GLD hit its low in the last 12 months?
Just reminding.

Advantage Futures

Futures Brokerage & Clearing

AMP Global Clearing

Futures and FX Trading

Bright Trading

Professional Equities Trading

CTS

Futures Trading Software

DaytradingBias.com

Professional Trading Analytics

ECHOtrade

Professional Trading Firm

eSignal

Trading Software Provider

FXCM

Forex Trading Services

Global Futures

Futures, Options & FX Trading

Interactive Brokers

Pro Gateway to World Markets

JC Trading Group

Direct Access Trading

MB Trading

Direct Access Trading

MultiCharts

Trading Software Provider

NinjaTrader

Trading Software Provider

OANDA

Currency Trading

optionshouse

Option Trading & Education

Questrade

Canada's #1 Online Broker

Rithmic

Futures Trade Execution Platform

SpeedTrader

Direct Access Trading

SpreadProfessor

Spread Trading Instruction

thinkorswim by TD Ameritrade

Direct Access Trading

TradersStudio

System Building & Backtesting

Trading Technologies

Trading Software Provider

Trend Following

Trading Systems Provider