Tuesday, June 29, 2010

GLD call update


After entering into a long call position yesterday on GLD, the stock opened lower but then reversed midmorning today. Our call option has now broken the 10% profit mark. I think there's more upside to this since gold has been a safety play the last few months and the rest of the market has taken a crap on itself today. There's some heavy resistance though around the $123 range though. You can see a few attempts to break and hold that but all failed. So I'm looking for a break and close above the $123 level. If it hits resistance and starts to reverse, then we will close our position and with a small profit. The target range is the green circle.

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