NEW YORK (TheStreet) -- Individual investors interested in gold may want to consider SPDR Gold Shares (GLD), an exchange-traded fund that is backed by gold bullion and that matches the performance of Comex gold futures contracts.
Most precious metals traders focus on Comex gold futures, but the typical individual investor prefers not to have exposure to financial futures contracts and prefers the ETF because it trades like a stock.
First, let's look at the performance measures for the four gold mining stocks and trading guidelines. Then we will look at the weekly chart for Comex gold and evaluate the SPDR Gold ETF.
Barrick Gold ($11.29) is up 5% so far in 2015, but is below its 50-day and 200-day simple moving averages of $12.02 and $14.29, respectively. The weekly chart is negative with the stock below its key weekly moving average of $11.62.
Investors looking to buy Barrick should place a good-till-canceled limit order to purchase the stock if it drops to $9.36, which is a key level on technical charts until the end of March.
Yamana Gold ($3.83) is down 4.7% so far in 2015, and is below its 50-day and 200-day simple moving averages of $4.03 and $5.74, respectively. The weekly chart is negative with the stock below its key weekly moving average at $3.97. Remember that buying a stock that trades for less than $5 is an "option on survival."