Wednesday, April 6, 2016

Shorting SPY, USO, And GLD

If we're allowed to write one article shorting all 3 we're doing so.
USO and GLD look like they have started another downtrend and have led the SPY recently.
Huge run of all indexes but same risks still exist.
To make a call that everything goes in unison should not be so outlandish this year. We are making a call to short the S&P 500 (NYSEARCA:SPY), Oil (NYSEARCA:USO), and Gold (NYSEARCA:GLD).
Typically the three markets end up being hedges for each other in some way. That has not been the case of late.
Typically:
*Oil dropping helps the economy with lower prices driving the stock market.
*Gold dropping is a sign of less inflation which helps the economy.
*The market dropping drives gold, as a historic store of value in shaky times.
*If Oil and Gold spike its usually because of an inflation fears hitting the market.
This Year Is Different:
#in, $spy, $uso, $gld

Chaim Siegel has been working with hedge funds and mutual funds as an analyst and PM his entire career. Chaim specializes in earnings and predicts, analyzes and reacts to earnings and earnings events as well as developing current company stories with a hedge fund perspective. If you want his analysis real time sign up to the right for real time email alerts. Disclosure: These trades can lose you money and principle especially when using leverage BY USING THIS SITE YOU AGREE TO TAKE ALL RESPONSIBILITY FOR YOUR OUTCOMES AND LOSSES AND HOLD BESTIDEAS, ITS CONTRIBUTORS AND ELAZAR ADVISORS, LLC HARMLESS

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