Barrick Gold Stock (ABX) over the past 5 years has returned 300%. This year starts off with more Put Selling and a stock trade. Today a new trade alert goes out for Barrick Gold Stock. Barrick Gold Stock symbol is ABX and it trades on both the New York and Toronto Stock Exchanges. I am doing all my Put Selling in Barrick Gold Stock and stock trades on New York in US dollars.
Today I sold the March 16 2013 $30 puts strike for .45 cents late in the morning. There is a lot to like about Barrick Gold Stock (ABX) and this Put Selling trade at this level including if assigned I will be easily able to sell in the money covered calls to get out of the stock.
The price of gold is down another $25 today. The decline in the price of bullion does affect the stock but Barrick Gold Stock has been in a decline for the past 12 months.
Barrick Gold Stock (ABX Stock) 12 Month daily Chart
The past 12 months for those investors who have bought at inopportune moments in Barrick Gold Stock (ABX) must be painful. Barrick Gold Stock (ABX) has seen two severe declines. The first from Feb to July 2012 saw the stock collapse 38% and the second from September 2012 to today (Feb 15 2013) has seen a 26.9% decline. The present decline may not actually be over.
For buy and hold investors they really need to consider other stocks.
Put Selling Barrick Gold Stock (ABX)
Options of all kinds have benefited from trading within Barrick Gold Stock (ABX). Every option strategy I can think of would work well in this stock. For me, I have done two principal trades, namely Put Selling and the Bollinger Bands Strategy Trade. I have modified the Bollinger Bands Strategy Trade for Barrick Gold Stock (ABX) to take advantage of the volatility and to stay constant with the chart pattern for the stock.
For put sellers Barrick Gold Stock (ABX) has been just fabulous. The volatility remains very high and support levels based on volume are easy to spot. My trade today continues that trend as I look ……..