The GDX (or Market Vectors Gold Miners ETF as it is rather long-windedly known!) has been causing a bit of a stir, here at Spreadbet HQ, over the last few months. This ETF bundles a collection of gold and silver associated stocks together in an effort to track the NYSE Arca Gold Miners Index (GDM). It offers investors and spreadbetters a leveraged play on the price of gold and is tradeable on the larger spreadbetting websites.
Now I know I’m about to bang on again about yet another gold related story, but bear with me. This really is an exciting time for the precious metal and if our house line is right (buy, buy, buy!) then this could prove to be an exceptionally profitable trade. As with all these things, timing is everything and now looks like the time to be buying. Even if we are wrong, downside can be managed with fairly tight guaranteed stops, so the risk/reward is definitely on our side.
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