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August 29, 2013  Thu 2:14 AM CT

NUGT: SEE CHART GET CHAIN FIND STRATEGIES
A trader is counting on a floor in the Gold Miners Bull 3x Shares exchange-traded fund.

optionMONSTER systems show that 2,400 September 45 puts were sold for $0.70. There was no open interest at this out-of-the-money strike, so it is a new position.

This put seller has an initial bullish bias but is really just looking for the NUGT to remain above $45 through expiration in mid-September. (See our Education section)

The NUGT, which is designed to deliver triple the performance of the NYSE Arca Gold Miners Index, fell 8 percent to $77.73 yesterday. It was above $105 on Tuesday but bounced off support at $50 at the beginning of the month. The fund just underwent a 10-to-1 reverse split to keep it from dipping too low.
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Education & Strategy

Gamma

As we continue to discuss the Greeks, we come to the first of the strike based Greeks called Gamma. Gamma is known as the second derivative, while delta is the first.

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