The Triple X Gold Strategy

Beyond the Bling: A Savvy Strategy for Investing in Gold

For investors looking to navigate market downturns, gold exchange-traded funds (ETFs) may be a valuable resource. With individual stocks, you have to worry not only about broader market effects, but also those resulting from issues specific to a company. On the flip side, gold has historically shown a low degree of correlation with the stock market. That is, when stock prices decrease, gold prices tend to either increase or at least remain stable. This makes it one potential hedge against losses in an overall portfolio.

Gold stands as a historical safe haven, known for its stability during economic turmoil. Unlike currencies prone to inflation, gold's value often rises, acting as a hedge against such risks. Its limited supply and steady demand across various applications further enhance its appeal. Together, these factors make gold a smart choice for investors looking to safeguard their portfolios against market downturns and inflation.

Gold ETFs thrive in volatile markets, but Triple X elevates performance by applying proven buy/sell indicators to the ProShares Ultra Gold (UGL) ETF. Key tools include:

  • RSI, MFI: Spot overbought/oversold levels for smart buy/sell decisions.

  • MACD: Validate RSI/MFI signals by tracking trend direction.

  • Stochastic Indicator, Flare-Out Ratio: Pinpoint market peaks and unsustainable growth for timely exits.

RSI and MFI seek to pinpoint overbought/oversold conditions for timely trades, while MACD confirms trends to align signals with market momentum. The Stochastic Indicator and Flare-Out Growth Ratio seek to highlight market peaks and unsustainable growth for optimal sell opportunities.

A Word About the ProShares Ultra Gold (symbol UGL) leveraged ETF

The UGL ETF aims to deliver 2x the daily performance of its benchmark, the Bloomberg Gold SubindexSM. While designed for daily objectives, returns over longer periods may vary due to factors like index volatility and gains/losses. The Subindex tracks COMEX gold futures, using a rolling process that adjusts positions monthly, reflecting gold performance without holding physical assets. One cannot invest directly in an index.