SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : The Woodshed
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Sawdusty who wrote (54626)10/4/2016 4:13:04 PM
From: stuffbug  Read Replies (1) of 60900
 
You gotta be careful holding overnight, especially on huge down days.
The volatility decay associated with the daily reset is brutal.
Much better to use margin and buy 3X dollar amount of GDXJ.
However, since you are buying near the closing price, the impact on your trade will be minimal.

Affect of Volatility Decay
- Although GDX is over 17% higher than the February high, NUGT traded within 2 cents of its February high.
- On a straight leveraged basis, NUGT should be over 50% higher.
- The volatility cost is about 7% per month.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News