Having purchased a small position for a short term trade at $2.90, we decided that our move on Randgold Jan 09 $40.00 puts wasn’t working out the way we hoped, therefore we sold our contracts today for a price of $1.70.

This gives us a loss of around 40% on this trade, which is disappointing. However we thought it was better to cut our losses at this point, rather than hold a contract that is expiring in less than 20 days. Fortunately this was just a small short term move for us, with the vast majority of our capital being in long positions on gold, plus a chunk of opportunity cash, to be deployed when needed.

Stay tuned for updates in this fast moving market…

If you are new to investment in the precious metals sector then you may wish to subscribe of our FREE newsletters regarding gold stocks, silver stocks and uranium stocks, just click on the links.