GLD / DGLD Wrap Up

This has to be one of the odder trades, but a very interesting 3C pick-up. Here's the post from yesterday, Trade Idea (speculative) GLD / DGLD...

"This is an interesting one, especially ahead of tomorrow's F_E_D minutes.

It looks like GLD is going to see a quick move to the downside"

And a quick move it was...

This is why I decided to close out DGLD (3x short GLD) which was opened yesterday.

 3C put in a relative positive divergence , but more than anything...

The parabolic move down on heavy volume toward the bottom where a Tweezer Bottom" was formed was the final straw.

This is the P/L, and a good lesson. In a fast moving , illiquid market, the spreads on the bid / ask are horrible, here running $.30 to $.50 on this move which cost me on the fill exiting.

 The opening price was $77.29 and the fill on the exit was $79.95, a horrible fill at the time.

The P/L still worked out to be +3.44% for a couple of hours, it should have been closer to 5% if the B/A spread wasn't so horrible.

I hope you did okay, I imagine some of you may have used puts, email me and let me know how you did.

What a strange set of signals and trade!