A New, Simple Way to Play the Dow to Gold Ratio
Since I haven’t noticed anyone else out there commenting on it, I thought I would offer my kudos and thanks to the folks over at Factor Shares for launching a new series of spread ETFs for traders. The product that has my attention and interest is a double leveraged spread of the Gold to S&P 500 ratio. This is a simple way to play the Gold versus paper theme that is near and dear to my blog. Though the Dow to Gold ratio is better known, an S&P 500 to Gold ratio is really no different.
The new ETF I am referring to has ticker FSG and you need to do do your own due diligence if this is something that interests you. Please understand that I had never heard of the Factor Shares company before they released this product, I am not versed in the counterparty risk this product may carry, and I have no relationship with the company behind this new ETF. Like all leveraged ETFs, there is slippage that will plague this product and thus FSG is better used for trading rather than as a “buy and hold” vehicle. However, we are fast approaching a “buy” point for this ETF due to the oversold nature of the Gold to S&P 500 ratio right now.
Here is a 5 year daily log scale chart of the Gold ($GOLD) to S&P 500 ($SPX) ratio (i.e. $GOLD:$SPX) through Friday’s close with my thoughts:
The FSG ETF has been trading now for about 8 months and it looks like its volume is starting to pick up, which is a good thing:
Meanwhile, the bearish sentiment on precious metal stocks and precious metals is starting to get to a point where it is time to start thinking about going long. I think we may need one more plunge, but that should just about do it. If we get a “falling knife” in the Gold stock indices and precious metals over the next few weeks, I will be looking to catch it.
Specific trading recommendations reserved for subscribers.
Read more at Gold Versus Paper
Source:
Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.
"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world. Anyone can join. Anyone can contribute. Anyone can become informed about their world. "United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
LION'S MANE PRODUCT
Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules
Mushrooms are having a moment. One fabulous fungus in particular, lion’s mane, may help improve memory, depression and anxiety symptoms. They are also an excellent source of nutrients that show promise as a therapy for dementia, and other neurodegenerative diseases. If you’re living with anxiety or depression, you may be curious about all the therapy options out there — including the natural ones.Our Lion’s Mane WHOLE MIND Nootropic Blend has been formulated to utilize the potency of Lion’s mane but also include the benefits of four other Highly Beneficial Mushrooms. Synergistically, they work together to Build your health through improving cognitive function and immunity regardless of your age. Our Nootropic not only improves your Cognitive Function and Activates your Immune System, but it benefits growth of Essential Gut Flora, further enhancing your Vitality.
Our Formula includes: Lion’s Mane Mushrooms which Increase Brain Power through nerve growth, lessen anxiety, reduce depression, and improve concentration. Its an excellent adaptogen, promotes sleep and improves immunity. Shiitake Mushrooms which Fight cancer cells and infectious disease, boost the immune system, promotes brain function, and serves as a source of B vitamins. Maitake Mushrooms which regulate blood sugar levels of diabetics, reduce hypertension and boosts the immune system. Reishi Mushrooms which Fight inflammation, liver disease, fatigue, tumor growth and cancer. They Improve skin disorders and soothes digestive problems, stomach ulcers and leaky gut syndrome. Chaga Mushrooms which have anti-aging effects, boost immune function, improve stamina and athletic performance, even act as a natural aphrodisiac, fighting diabetes and improving liver function. Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules Today. Be 100% Satisfied or Receive a Full Money Back Guarantee. Order Yours Today by Following This Link.
| Visits: | 1,812,371,845 |
| Stories: | 8,654,557 |
Whistler Blowers, Insiders
