Direxion Daily Gold Miners Be (DUST)

[Sgreg]

Ah, now that is something I can agree with. I have been saying for awhile that I am not bearish on gold but I am very bearish on gold miners. People think they are the exact same trade. They are not!

I lived it. I went through it. Have a look at something. That USAA precious metals fund. It is a good fund. I like it. It's just a fund of mining stocks. Its symbol is USAGX. Look at the weekly 10 year chart. Look at that in 2008. Big fat crash it had. It was worse then I even remember. It went from $26 down to $10, from March to Oct 2008. All it did was reflect the mining sector as that is all what that fund is.

I hear people say "market crash is coming" so I'm going to cash and might also buy some gold or silver. I say OK

I hear people say "market crash is coming so I'm buying mining stocks" I say you will loose your shirt. You can't avoid the market by still being in the market. This is shown clear as day in historical charts and performance.

Now one might be able to see my position on this. I can have it both ways now with witch ever the story plays out.

Story 1 is the market crashes and just like always miners will crash with the market. Hey, I'm in DUST, I win.

Story 2 is the market does fine and economies do fine people get board and look at their mining stocks and realize the momo juice is gone and notice miners are extremely expensive so they sell them to allocate their money in other sectors or whatever. Hey, I'm in DUST, I win.