By "JUNIORS", you mean junior stocks? or GDXJ?
Let's cover the easy one first...
never buy any 3x ETFs (JNUG, JDST, etc.) for buy and hold investment.
Everyday, the value will decay. Few days...even perhaps a week
won't be too bad, but certainly, multi weeks and months, will severely
erode the value. These are meant to be traded vs. invested.
For long term (perhaps 6+ months) investment, you should actually
buy Junior stocks, and or their leap (long term) options.
But if gold does fall below $1200 for a long period, some of these
junior miners may not survive, so make sure you do full due diligence.
If you really want to guarantee profit, then simply short both JNUG/JDST
and hold it for a long time, and let the erosion become your profit, but
this will lock up your funds and additional margin requirements.
If you are really bold, you would sell naked call options for both,
and let both the ETF value erosion and the option's time decay to work
in your favor.
Sounds simple? But its actually more complicated as selling option
and short position can create unlimited loss possibility if one side
goes terribly wrong.
I think the board member "Dr. Contango" was doing something of this
nature, where he was selling options and rolling them over to the
next month as they expire. If you can catch him, he might enlighten
you with better expert details than I can.
Have fun.
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