Spider ETF in mining and metals ticker XME

[QuarterMillionMan]

I'm planning to invest $8000 in the spider ETF in metals & mining, XME. This 5 year graph shows that it traded at a high of $70 in 2011, today it's $28. Would this be considered buying low and possibly selling high? And would investing in the XME be like fools gold, it looks good but really it is not.

https://research.scottrade.com/qnr/Public/ETFs/Summary?symbol=XME

https://www.spdrs.com/product/fund.seam?ticker=XME

[bjl584]

It could be buying low, but it could be catching a falling knife.

Commodities may not have bottomed, and even if they have, there is no guarantee of a fast recovery.

How is this fund trading against its peers? At a premium or a discount?

You'll get a little bit of a dividend out of this, but not much. 2% or so.

Why are you looking at natural resource ETFs?

You might be better off looking at MLPs if you are bargain shopping energy.