littleriver

"Golden Nuggets", a look at NUGT and the underlying commodity.

COMEX:GC1!   Gold Futures
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2
This chart is comparison of gold and the ETF NUGT . I would like to thank JR again for pointing this play out. I went back and compared the last bull run in gold . I have highlighted many of the big green candle days in gold and the corresponding day in NUGT . What i thought was intriguing is the bounce in NUGT often did not occur until the following day. Infact, it was down many of the green candle days in gold . The great thing about this is it allows investors the opportunity to take little or no risk while reaping all the rewards. As I understand it, this is a leveraged ETF and will be having a 5 for 1 split on April 1. When that bull run in gold occurs, this looks to be an investor friendly play.

Comments

nice...i even dont know how to use it :D
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every time gold goes up by a lot you buy NUGT the next day
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Almost seems too good to be true. Great analysis!
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Thanks, but JR really pointed me in the right direction. I need to correct what I said in the description. It will be a reverse split in April and not a split.
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I took a second look at this in the am using another charting software to confirm the chart. The The chart did not confirm. Seems this one is too good to be true . Sorry gentlemen but a bad chart. I believe having gold on top ( a 24hr commodity) is throwing the data out of sequence on the dates. Here is another look with NUGT on top. The divergence is gone and so is the bounce.
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Thanks JR but you get the credit. I look forward to playing it. Thank You!
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I'll play this as well
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Lagging Bounce. Nice find
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