My short Gold position

I wrote this post on buying Gold calls the other day because I was afraid that Gold was going to explode (which it did,) and I bought calls to protect a short position that I initiated a couple of weeks ago.

After having them for a couple of days, I was very close to getting rid of them at breakeven, BUT then, all of a sudden, my short position started acting weird, so I decided to keep them a little longer. Anyway, as of now, I am down very big in my Gold short (about $4,000,) as the yellow metal has climbed above 975.

BUT my October 975 calls have also rocketed, and are up about $11,400. (Clicking on the chart gives you a clearer view):












The problem, of course, is that the options have to be watched, because they can expire...whereas my short position will not go away until I cover it.