Anybody shorting gold & miners?

Anybody shorting gold & miners?

Lot of positive comments about gold, but no negative comments!

Re: Anybody shorting gold & miners?

Jun_Yu wrote:

> Anybody shorting gold & miners?

Not as long as the Middle East keeps going to hell.

Between Iran and the Denmark cartoons, gold should remain on a long-term
uptrend. True, there may be one or two short-term corrections along the
way, but trying to predict those is a total crap shoot.


--
Steven D. Litvintchouk
Email:

Remove the NOSPAM before replying to me.

Re: Anybody shorting gold & miners?

Your comments are positive! Do you have any negative comments about
gold & miner or not?

>>True, there may be one or two short-term corrections along the
>>way, but trying to predict those is a total crap shoot.

You're entitled to your opinion.

Re: Anybody shorting gold & miners?

Yes, the world bank and central banks short the gold they hold all of the
time. They do it via LEASE AGREEMENTS. This arrangement PUTS gold into the
hands of short sellers. Short sellers cannot sell without having access to
the actual gold.
Goto www.sprott.com and read the articles written by their gold fund manager
(formerly with Royal Bank gold funds)
BTW: its almost universally known that central banks have lousy timing for
gold/silver/plat group metal reserve sales. They always sell at bottoms and
buy back at tops.
"Jun_Yu" <> wrote in message
news:
> Your comments are positive! Do you have any negative comments about
> gold & miner or not?
>
>>>True, there may be one or two short-term corrections along the
>>>way, but trying to predict those is a total crap shoot.
>
> You're entitled to your opinion.
>

Re: Anybody shorting gold & miners?

>>its almost universally known that central banks have lousy timing for
>> gold/silver/plat group metal reserve sales. They always sell at bottoms and
>>buy back at tops.

Central banks aren't in market for making money by timing. Their
mission is different. Doesn't matter how lousy they might at timing
their trades.

Re: Anybody shorting gold & miners?

Hi Jun_Yu,

I've heard of several that have shorts on - you could use Profunds new
fund which shorts PM's. You could short individual miners. You could
short futures. All have their pros/cons, but are very tricky.

While most folks see the long term bull market in gold and the pm's as
solid and likely to last for another year or so (or longer), there are
some who feel we are currently overbought and their TA signals have
flashed a sell sign for a correction. I've heard down to 520-525 or
6-8% mentioned. And this could very possibly occur.

Where this is enormously tricky and requires split second timing, is
that to date, every correction has been shorter and less deep than
anticipated or called. And most resistance levels have been sliced
thru like soft butter. Gold might be overbought, but the other pm's
are hitting highs and XAU (represents the miners) has been hitting
highs. This means that all things are pointing to an continued bull
market.

And while I know of some folks that are shorting, I am NOT. I don't
have the skill or the trading vehicle and this is a long term bull
market, IMHO.

best,

rono

Re: Anybody shorting gold & miners?

You are right ron, you can be right about the direction but off slightly on
the timing and still lose more than your investment many times over.
Besides, my charts show 604 and then a 10% correction. We shall see whos
right.
"rono" <> wrote in message
news:
> Hi Jun_Yu,
>
> I've heard of several that have shorts on - you could use Profunds new
> fund which shorts PM's. You could short individual miners. You could
> short futures. All have their pros/cons, but are very tricky.
>
> While most folks see the long term bull market in gold and the pm's as
> solid and likely to last for another year or so (or longer), there are
> some who feel we are currently overbought and their TA signals have
> flashed a sell sign for a correction. I've heard down to 520-525 or
> 6-8% mentioned. And this could very possibly occur.
>
> Where this is enormously tricky and requires split second timing, is
> that to date, every correction has been shorter and less deep than
> anticipated or called. And most resistance levels have been sliced
> thru like soft butter. Gold might be overbought, but the other pm's
> are hitting highs and XAU (represents the miners) has been hitting
> highs. This means that all things are pointing to an continued bull
> market.
>
> And while I know of some folks that are shorting, I am NOT. I don't
> have the skill or the trading vehicle and this is a long term bull
> market, IMHO.
>
> best,
>
> rono
>

Re: Anybody shorting gold & miners?

Hey Slim,

Geez, I wish someone could make a buck on these corrections. I know
that I don't have the skill, nor the time, nor the trading vehicle.
And you have to be soooo quick. Friday, we dropped off and I'm sure
there were a lot of shorts making money. However, today we're back up
to 572 +4.90, silver is at 9.81 +.10 and XAU is at 150.86 +3.11.

The best I can do is sit them out patiently and wait for the long term
trend to reassert itself.

best,

rono

Re: Anybody shorting gold & miners?

Those leveraged profunds/rydex funds make me weary. You can lose a lot
with beta slippage.

rono <> wrote:
> Hi Jun_Yu,
>
> I've heard of several that have shorts on - you could use Profunds new
> fund which shorts PM's. You could short individual miners. You could
> short futures. All have their pros/cons, but are very tricky.
>
> While most folks see the long term bull market in gold and the pm's as
> solid and likely to last for another year or so (or longer), there are
> some who feel we are currently overbought and their TA signals have
> flashed a sell sign for a correction. I've heard down to 520-525 or
> 6-8% mentioned. And this could very possibly occur.
>
> Where this is enormously tricky and requires split second timing, is
> that to date, every correction has been shorter and less deep than
> anticipated or called. And most resistance levels have been sliced
> thru like soft butter. Gold might be overbought, but the other pm's
> are hitting highs and XAU (represents the miners) has been hitting
> highs. This means that all things are pointing to an continued bull
> market.
>
> And while I know of some folks that are shorting, I am NOT. I don't
> have the skill or the trading vehicle and this is a long term bull
> market, IMHO.
>
> best,
>
> rono
>

Re: Anybody shorting gold & miners?

Hi Sanjay,

Yeah, the profunds ultra series in the sectors or segments takes
serious sand to play . . . and you had best be very nimble. About the
only way I believe it can be done safely, is if you actually have an
account with them.

Some of their index funds are 200% of the index - bull or bear side.
And in the sectors, they are 150% of the index - either bull or bear.
This means that if the market goes against you, you've going to get
hammered in a hurry. Also, if you lose 20%, it takes you a gain of 25%
to get back to where you started.

be careful with these,

rono

Re: Anybody shorting gold & miners?

There is nothing to leveraged Pro & Rydex funds. They just give more
"bang" for your "buck"! People at fundvision trade them all the time.
I'll recommend board: if
you're weary. Double beta is no big deal.

Re: Anybody shorting gold & miners?

>>And while I know of some folks that are shorting, I am NOT. I don't
>>have the skill or the trading vehicle

That's okay. I'm not telling you to short. But what's reason not to
learn the skill?

Re: Anybody shorting gold & miners?

>>Hey Slim,

>>Geez, I wish someone could make a buck on these corrections.

>>rono


Your wish has come true! I'll sell my SPPIX today.

Re: Anybody shorting gold & miners?

SPPIX which shorts miners made 6.73% today! I'll short again if gold
rises again.

Re: Anybody shorting gold & miners?

Jun_Yu <> wrote:
> There is nothing to leveraged Pro & Rydex funds. They just give more
> "bang" for your "buck"! People at fundvision trade them all the time.
> I'll recommend board: if
> you're weary. Double beta is no big deal.

Maybe I don't understand how the funds work then. But if you're in
their 2x the naz fund and the Naz falls 10pnts then you've got a smaller
principal on the moves back up. So much for your leverage.

In a very volatile market you could get eaten alive on your trades. I
think Profunds/Rydex has worked so well because we've had a nice smooth bull
run for the last 3yrs.

If we go to war with Iran and the market freaks out there could be wild whipsaws
which could easily eat up your principal.

Am I just misunderstanding how Rydex/Profunds do their leverage? Or maybe
the slippage I"m talking about is so miniscule that it doesn't matter.

Did you actively trade profunds/rydex during 2001 & 2002?

-Sanjay

Re: Anybody shorting gold & miners?

Leaverage & slippage are different. Read a few trading 101 sites to
understand difference.

You might want to checkout site I gave. There they trade Pro & Rydex
all the time. I myself trade Pro & Rydex all the time. I find your
apprehension baseless.

Re: Anybody shorting gold & miners?

Jun_Yu wrote:

> Read a few trading 101 sites to
> understand difference.


Any favorite?

Re: Anybody shorting gold & miners?

Try:

Re: Anybody shorting gold & miners?

Jun_Yu wrote:
> Try:

Good stuff! thank you, Jun_Yu