The fact that JNUG and NUGT are seeing larger volume increases is not surprising as the scenario has been seen before and the two ETFs have larger average daily volumes than their bearish counterparts.
However, when the volume increases are combined with creation and redemption activity, the picture indicates some traders have been getting things dangerously wrong with mining ETFs. [2014 Gains Nearly Gone for Miners ETFs]
Over the past month, JDST has seen modest inflows, but not nearly enough to compete with the nearly $63 million that has gone into JNUG. During that same period, investors have allocated $3 to NUGT for every $1 pulled from DUST. Yet DUST is up 27.4% over that time while NUGT has tumbled 24%.
Direxion Daily Gold Miners Bear 3X Shares
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of JNUG.