Loading ...The big banks are undoubtedly waiting ever so patiently for the Large and Small Speculators to cover all of the shorts they put on in May with gold in the $1,270-1,280 range and switch to “net long” here in June at which time all of the buy-side volume created by this switch will have been supplied by the Commercials thus capping the advance and setting up the next takedown.
The COT was non-descript this week and gave me few clues as to any potential bullion bank ambushes looming on the horizon so enjoy the ride on the leveraged ETF’s which have gapped even higher this morning with JNUG pressing the $8.20 level and NUGT north of $18, I am now looking to exit the all of the calls I own (JNUG June $6 from $1.10 – now $2.20/ NUGT June $15 from $2.55 – now $3.40) and the price points are JNUG $8.50 and NUGT $19.50. I will also sell ½ of the ETF share positions in both while putting stop losses on the balances at JNUG $8.05 and NUGT $19.05.