Commodity investing has been on the mind of many an investor these days, thanks to a recent run-up in prices and the availability of exchange traded funds (ETFs).

One expert says the spot prices don’t matter so much as the long-term trend lines. Does that sound familiar?

According to David Frum on MarketPlace public radio, the spot price is simply what something is trading for at the moment. The overall trend is what truly matters.

The favored hedge of the moment is gold, which has spiked to record prices. To Frum, the record price is a selling indicator. We maintain instead that you can’t fight the trend – when it’s up, it’s up. When it’s heading south, it’s time to employ an exit strategy. (Why gold could go higher).

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