Gold is currently one of the hated investments in the financial markets. It is eschewed by both the public and institutional traders alike, so much so that there is nothing for us to do but buy it. The Daily Sentiment Indicator (trade-futures.net) is at 7%. Single digit readings have been a reliable indicator of pending reversals in trend to the upside. It's time to go long gold and gold stocks.
Royal Gold (RGLD)
While gold has been trending lower all year, RGLD has been trending higher. If gold is about to turn up, RGLD may be ready to scream up. An attractive play on an imminent rally in gold is to buy RGLD (around $92) or to buy the RGLD October $90 calls (around $5.00).
****This is where I would normally plug my subscription service. Screw the hype, just buy some gold. You can thank me later. - A