TAO Minerals Ltd. (fka TAON)

[JTJ]

Generally, I prefer to buy stocks in uptrends.

However I think it's good to have some exposure to Gold because I expect huge inflation in the medium term. One way to do so with less risk is to buy a stock like Yamana and then sell short term out of the money calls against the shares. You generate income (which lowers your net cost basis) while waiting for a rebound. For instance, if you buy 1000 Yamana now at $4.10 and sell 10 November 5 covered calls for .25, you have generated over 6% income in less than a month. If the calls expire worthless, then your new NET cost basis is lowered to 3.85 and next month you do it all again.