A China-Based Gold Trade

Published on
August 12th, 2019
Duration
20 minutes

A China-Based Gold Trade

Trade Ideas ·
Featuring Alexander Campbell

Published on: August 12th, 2019 • Duration: 20 minutes

Alexander Campbell, founder of Black Snow Capital, focuses on systemic risks and the banking sector. In this interview with Alex Rosenberg, Campbell dives into the problems facing the Chinese banking system, and argues that history points to money-printing as the most likely outcome. He also explains why he would be buying gold denominated in Chinese Renminbi, if possible, before laying out an alternative strategy using options. Filmed on August 9, 2019.

Comments

Transcript

  • JW
    Joel W.
    15 August 2019 @ 19:04
    Great job providing enough options trading education to understand the trade without bogging down the interview. Well done Alex.
  • AP
    Anderson P.
    14 August 2019 @ 03:01
    Are the interviewer and the interviewed the same person?
  • ly
    lena y.
    13 August 2019 @ 21:47
    trade of the century: buy gold with RMB !
  • SL
    Steve L.
    13 August 2019 @ 04:35
    Diagrams would be nice. Great interview Alex. Thanks
  • PG
    Philippe G.
    12 August 2019 @ 21:46
    Excellent! Also appreciated the refresher on options terminologies and strategies!
  • RW
    Robert W.
    12 August 2019 @ 18:45
    Rosenberg did a phenomenal job here. Thank you!
  • MS
    Mark S.
    12 August 2019 @ 15:32
    One point missed in his fly construction is that as GLD approaches 160, that is a negative vega point. GLD expands it's IV as it rises thus eroding his position unless it stops around 160. So he's banking a lot that were not going to have a more accelerated move up in GLD. Not sure this is the right play with the current geopolitical environment.
    • MS
      Mark S.
      13 August 2019 @ 19:04
      As a follow-up an OTM Call Calendar would capture increasing IV or just by calls ATM or OTM, longer the date the safer
  • SS
    Shanthi S.
    12 August 2019 @ 09:19
    “Would take me at least a week to make that back...” heheheheh... :D The two Alex’s are great.
  • bm
    brian m.
    12 August 2019 @ 07:30
    Perhaps with the precedent set by Bitcoin a lot of people may believe the"Gold goes to $10,000" statements which are all over the internet. A small group of hopeful speculators could also cause a spike in PMs.
  • SG
    Sashi G.
    12 August 2019 @ 07:19
    A little more detail on the exact nature of the spread - perhaps with some actual current numbers and an example would bring it closer to the ground for me that something which seemed a bit in the air overall.