A Case for Oil vs Gold 52916

Which is stronger right now? Oil or Gold?

I have put some money in Oil. Not Gold. Looking at the charts, I see a down signal on GLD. Also Gold Miners ETF NUGT has taken a big hit lately dropping from over $100 to $70. Being a leveraged ETF it moves quickly, up or down.

The ETF I have purchased for oil is USL. Currently it has worked off a bottom and has slowly been on an incline upwards. See chart below on USL. Fundamentalists will provide the reasons why. We have both a major and minor signal pointing up. Summer months and more travel and higher oil consumption? If the market’s mood changes I will be quick to exit. I would rather see my account creep upwards at a slow pace than hold and pray over the next 5 years while it takes a beating. That is my conservative mind set.

OIL (USL) CHART

 GOLD (GLD) CHART

Additionally I have a buy signal on QQQ and DIA. That means a buy signal on the Nasdaq 100 ETF and the Dow Jones 30 ETF. My cautious play with that is to sell some QQQ vertical put spreads with a delta of around 40 and with a near month expiration. My plan is to hold it for a couple more weeks with the expectations that it will go sideways or up, and I would keep the credit premium. The max gain and loss on this transaction is capped. It is also a cautious play.

QQQ CHART

I am also seeing a buy signal on EEM (Emerging Markets ETF) and on IIF, the India Fund. Think I will put in for a small buy on the IIF. It can move up quite rapidly. But if it goes down, then I will follow the exit signal and take a small loss. It seems a safer play to buy IIF with a corresponding buy signal on EEM… no guarantees though!