Scott Redler: Yes, I Do Trade Gold! – T3 Live
T3 Live

Scott Redler: Yes, I Do Trade Gold!


This morning, my editor said "I can't remember the last time you've talked so much about gold." 

And he's right -- I mostly trade tech stocks, momentum names, and IPO's... but I'm not going to turn my back on a good opportunity.

And GLD has been a major focus in Redler All-Access for the past few weeks.

I've been long GLD calls because the technical picture improved so much, with GLD having reclaimed all moving averages in early June.

That was key, because when a stock/ETF/index breaks above moving averages and makes new highs, it's telling you momentum is here.

So even if you hated gold, you had to respect its power. That doesn't mean you had to get long -- but you definitely think twice about shorting.

On July 30, I said "GLD held $133 and now we’ll see If it gets any traction above $134.75."

And it did get plenty of traction, hitting a high of $138.64 Monday on China's devaluation of the Yuan.

I sold my GLD weekly calls into that strength for a nice gain.

And today after the open, I trimmed some of my GLD October calls as well.

So what could be coming longer-term for GLD?

It could be setting up a breakout above the 5-year range. It could see $144 to $148 before year-end.

So you may be asking "Red Dog, if GLD can get higher, why sell the calls?"

You have to understand that as a professional trader, my time frame is sometimes pretty short, and my #1 priority is netting cash flow as often as possible.

I'll also most likely be trading around my GLD calls, perhaps creating spreads into strength, and adding into weakness.

If you want to follow along and get my GLD game plan every day, check out Redler All-Access here.

Positions Disclosure: As of August  6, 2019 at 10:09 a.m. ET, Scott J. Redler was long FB, AMRN calls, UBER calls, DIS calls, GWPH calls, GLD calls, DIS calls, GOOGL calls