Gold is on a bear tear!

I have started buying GLD by selling naked PUT at 122 and lower.

 

Here's a particular Gold Futures Calendar Spread that I've been short for a long time - until recently it's been quite thin, but working best offer I've been able to scale into it over time.

 

"Gold Is Money, Everything Else Is Credit" JP Morgan

 

Gold will continue up next few days and weeks.

 

I keep shorting Gold/hedged couple years, has to come much lower for system to reverse, the recent decline has helped for small losses due to hedges. Am still long Silver and Copper.

 

How does that work short gold and long silver, when they operate in tandem?

 

I stopped thinking back in the 90s of the "whys", and now all automated and think of it even less. Why does anything go up and down, stories come out after the fact, I been using same very long term commodity system since late 1991, I am just a dumb monkey on a string or is that puppet on a string....LOL

 

That's the first question that came to my mind as well. But I guess, theoretically, he could exit them at different times for a profit.

 

Is that weekly chart for GC Z7 - GC M18?
it looks different from my spread chart.

 

Are you using the exchange supported Spread? I am. The synthetic Spread expressions with illiquid markets are not practical.

BTW, the maintenance margin on that particular Spread is $225.

http://www.cmegroup.com/trading/met...de=GC&sector=METALS&exchange=CMX&pageNumber=1