Buy Gold Put Option (September 23-2010)

Posted in Uncategorized by qmarks on September 23, 2010

As the economy shows contradicting signals, gold has been the safest heaven for investors. But the demand to gold is not coming from people in the street, it is the hedge funds who buys gold through their carry trade dollars. So once the banks express their exit options from QE, the drop in the price of gold will be faster than the rise. Therefore I would buy a right to sell the gold in $1300 within 6 to 9 months.


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