Direxion Daily Junior Gold Miners Index Bull 2X Shares (JNUG)

[Bruce A Thompson]

JNUG leverages the Jr gold miners index

By leveraging through derivatives to achieve 3 X the Jr miners performance.

Since the key point is derivatives, the movement direction is close but not spot on the underlying Jr miners or even the price of gold.

As a result, you cannot make calls from an hourly chart and calls are risky when trying to trade from even a daily chart.

In other words, the JNUG chart is nearly worthless for making trading calls during runs either up or down.

Wait until you can see the run or change of direction materialize before committing cash to a trade. Set a reasonable goal and trade out at the goal price.

You won't make as much money as a time traveler would but you will make money most of the time.

Always remember, it only costs about $10 to cash out at any time. Waiting on a downtrend to turn can tie up thousand$ while you wait.