TRADE IDEA: GOLD (SPECULATIVE LONG) CALLS

Today's gap down in GLD hit stops back as far as the March 17th lows as you can see on an intraday chart exactly where they were hit. The 3C charts look good for at least a decent bounce from here. While there's GLD long or leveraged long ETFs, I would prefer to get some extra leverage on this position so I decided to go with an approximately 75% of normal position size for an options trade, leaving some room to reflect the speculative nature of the position and some room in case there's a larger reversal process. I actually expect this to be a fairly quick move along the lines of a gap fill, thus the extra leverage of options.

I decided to go with GLD August 21 (monthly) $110 Calls. Of course if I decide to add to the position, I'll put that out as always first.