Quick note here, the feds just enacted new policies to quicken the inflow of cash into the economy. This is certainly inflationary. This with the heightened demand from developing nations is putting extreme pressure on natural resources. One would be wise to consider in their portfolio commodity ETF's such as DBA or SLD or USO etc.
How I would play these is going to make many sit up and ask why the different style of trading. My answer is because these are going to go through the roof and you will want to take the most off the table. So here it is.
Take long positions(LEAPS) then calculate the time decay lost each month and sell the strike in the short month to take in enough premium to cover the time decay. This is a diagonal but with large spreads. These ETF's are going to spike and then slide back as we work our way much much higher. Anyone wanting to time these swings I say best of luck. Not my style. It can be done but I prefer to take a position and let it run.
This once again is for educational purposes folks trade with your own advisor etc.
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