For some time, we have held a nearly riskless bearish position, six June 23-25 puts spreads that we legged into for a debit of 0.08 apiece. That means that we can lose only $48 plus commisssion at most, but gain as much as $1152 if GDX is trading 23 or lower come June. More immediately, though, this vehicle could create a robustly bullish impulse leg with a relatively modest thrust surpassing 38.88. Let’s speculate on this by bidding 1.95 for two June 43 calls (GDXFQ) on the opening. If you are not filled right away, lower the bid to 1.80, day order. Check here before the opening and intraday, since I may alter the price. ______ UPDATE (10:31 a.m.) We bought the calls for 1.95, the low of the day so far, since they opened for 1.95. Do nothing further for now.
