I am sorry, My Precious: Bought 350 HGD.TO @ 10.26

I cannot believe that I am doing this. I am shorting my favourite asset, gold. Spot gold was trading at 1372 at the time of my short during lunch hour (see Fig. 1). I bought 350 shares of Horizons BetaPro Gold Bear Plus ETF (HGD.TO) to short gold. It is just more convenient to do that in my RRSP trading account at Questrade. I am well aware of the deteriorating value of a leveraged ETF (especially bearish ones). So I don't intend to hold this for more than a few days. The reason for this trade is simple. Today Bernanke made it clear that QE2 is on (WSJ: Bernanke Makes Case for Further Fed Moves to Boost Economy). Coincidentally, note the orchestrated weakening upward momentum across precious metal (Fig. 1), currency (Fig. 2), and equities (Fig. 3). Perhaps this is a matter of buy the rumour and sell the news? I am betting that this rocket is running out of fuel. If I am wrong, I have my stop set with a limited risk. If I am right, there's a long way down from up here. So this trade is merely a matter of exploiting good risk/reward. Stop is set at HGD.TO \$9.90. Anything below \$10.20 will be a sign of caution. Maximum risk is (\$10.26 - \$9.90) * 350 = \$126 + \$9.90 commission = \$135.90 = 1.4% of account. [caption id="" align="aligncenter" width="570" caption="Gold"][][][/caption]

[caption id="" align="aligncenter" width="570" caption="EUR/USD"][]1[/caption]

[caption id="" align="aligncenter" width="570" caption="S&P 500"][]2[/caption]