Gold ETF Finding Resistance Near 200-day Moving Average
10/10/2008 1:44 pm EST
It’s not easy finding solid trading opportunities when shorting equities is hampered. However, ETFs are still providing interesting plays that, even in these volatile markets, can be profitable trades.
Take GLD for example. The gold ETF appears to be finding resistance just above its 200-day moving average. After blasting down through it back in early September, it seems to have found some short-term stability around $88.
For careful traders with tight stops, GLD looks like a profitable short-term trade. The “flight to safety” in gold, while presenting itself for sure, hasn’t been as aggressive as I would have anticipated in this market. It might be happening now so the delay is your gain—and opportunity to make some money.