GO
Loading...

Options Action: GLD

Tuesday, 8 Jun 2010 | 5:53 PM ET

Still feeling bullish on gold, but worried that the trade might be a little crowded? Scott Nations has an idea for you.

He suggests a call spread in the Gold ETF . His trade follows:

With GLD at 122
Buy July 122 Call (put it on at 3.65 right now)
Sell July 132 Call (put it on at $0.85 right now)

Options Action: Fool's Gold
Scott Nations, of NationsShares, tells viewers how to play gold safely.

How Scotts GLD Trade Makes Money
Profits Capped at $132
Profits Above $124.80
Losses Below $124.80

Learn more about this trade. Watch the video now!


______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send those e-mails to fastmoney@cnbc.com.

Trader disclosure: On June 8, 2010, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Terranova owns (IPSU), (BX), (PFE), (FTO), (RSX), (TER), (AXP), (BMO), (BBY), (DIS), (XCO), (SWN), (AAPL), (IPI), (SU), (V), (TEVA), (FXB), (GLD); Adami owns (AGU), (MSFT), (C), (GS), (INTC), (NUE), (BTU); Finerman’s firm owns (AAPL); Finerman owns (BP) calls; Finerman Owns (RIG) calls; Finerman’s firm owns (RIG) calls; Finerman owns (MCD); Finerman owns (JPM) calls; Finerman owns (BAC) calls; Finerman’s firm owns (JPM); Finerman’s firm owns (BAC); Finerman’s firm owns (C); Finerman owns (HPQ); Finerman’s firm owns (HPQ); Finerman owns (GLW); Scaramucci owns (AAPL), (MCD), (JPM), (BAC), (C), (WFC), (GOOG); Kelly owns (GS) puts; Kelly owns (SPY) puts: Jon Najarian owns and has sold calls against (MCD); Jon Najarian owns and has sold calls against (JPM); Jon Najarian owns and has sold calls against (BAC); Jon Najarian owns and has sold calls against (C); Jon Najarian owns and has sold calls against (WFC); Jon Najarian owns and has sold calls against (USB); Jon Najarian owns and has sold calls against (AAPL)l Jon Najarian owns and has sold calls against (GS)

For Joe Terranova
Terranova works for (VRTS)
Terranova is chief market strategist of virtus investment partners, ltd.
Virtus investment partners owns more than 1% of (AMKR)
Virtus investment partners owns more than 1% of (IGE)
Virtus investment partners owns more than 1% of (DBV)
Virtus investment partners owns more than 1% of (XLB)
Virtus investment partners owns more than 1% of (XLV)
Virtus investment partners owns more than 1% of (XLP)
Virtus investment partners owns more than 1% of (XLY)
Virtus investment partners owns more than 1% of (XLI)
Virtus investment partners owns more than 1% of (XLU)
Virtus investment partners owns more than 1% of (DRYS)

For Anthony Scaramucci:
Skybridge Capital owns (AAPL)
Skybridge Capital owns (MCD)
Skybridge Capital owns (JPM)
Skybridge Capital owns (BAC)
Skybridge Capital owns (C)
Skybridge Capital owns (WFC)
Skybridge Capital owns (GOOG)

Brian Kelly
Kanundrum Capital is short(AMZN)
Kanundrum Capital is short(RCL)
Kanundrum Capital is short(XLY)
Kanundrum Capital is short(AFL)
Kanundrum Capital is short(CME)
Kanundrum Capital is short(EWI)
Kanundrum Capital is short(EWO)
Kanundrum Capital is short(GS)
Kanundrum Capital is short(HIG)
Kanundrum Capital is short(XLF)
Kanundrum Capital is short(FCX)
Kanundrum Capital is short(XLB)
Kanundrum Capital is short the Euro
Kanundrum Capital is short the Pound
Kanundrum Capital is short the Swiss Franc
Kanundrum Capital owns (GLD)
Kanundrum Capital owns (GDX)
Kanundrum Capital owns (GDXJ)
Kanundrum Capital owns (AUY)
Kanundrum Capital owns (GFI)
Kanundrum Capital owns (TLT)
Kanundrum Capital owns U.S. dollars

For Chris Caso
Susquehanna makes a market in (BRCM)
Susquehanna makes a market in (INTC)
Susquehanna makes a market in (MCHP)
Susquehanna makes a market in (NVDA)
Susquehanna Financial and/or its affiliates beneficially own 1% or more of (MCHP)

Matt Simmons
***No Disclosures***

David Threlkeld
***No Disclosures***

Colin Gillis
***No Disclosures***

Scott Nations
***No Disclosures***


CNBC.com with wires

  Price   Change %Change
GLD
---

Featured

Contact Fast Money

  • Showtimes

    Halftime Report - Weekdays 12p ET
    Fast Money - Weekdays 5p ET
  • Melissa Lee is the host of CNBC's “Fast Money” and “Options Action.”

  • Scott Wapner is host of the "Fast Money Halftime Report," which airs weekdays from 12 p.m. to 1 p.m. ET.

  • Guy Adami is a contributor on CNBC's "Fast Money." He also is managing director of stockMONSTER.com.

  • Najarian, the "Pit Boss," is cofounder of optionMONSTER.com, a news site for options traders.

  • Finerman is president of Metropolitan Capital Advisors, Inc., a company she co-founded.

  • Founder of EmergingMoney.com

  • Chief Market Strategist for Virtus Investment Partners & CNBC Contributor

Halftime Report