The gold miners have been trending lower for a month and this morning the sector currently is staring at another lower open. The ~$21.30 level offers a last gasp chance of the GDX finding support and beginning the bottoming process:
GDX (Daily)
Sentiment on the sector has moved into bearish territory in the last few trading sessions after reaching fairly frothy levels in early February. The goldies have gotten oversold enough and sentiment has dipped enough that I anticipate a tradable rally will begin within 1-2 days which could take the GDX as high as the $23 level before we will get a retest lower to shake loose more weak hands.
To receive our daily morning market emails and to find out how we are trading gold mining shares and other stocks/ETFs in real time sign up for the Trading Lab!
DISCLAIMER: The work included in this article is based on current events, technical charts, and the author’s opinions. It may contain errors, and you shouldn’t make any investment decision based solely on what you read here. This publication contains forward-looking statements, including but not limited to comments regarding predictions and projections. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The views expressed in this publication and on the EnergyandGold website do not necessarily reflect the views of Energy and Gold Publishing LTD, publisher of EnergyandGold.com. This publication is provided for informational and entertainment purposes only and is not a recommendation to buy or sell any security. Always thoroughly do your own due diligence and talk to a licensed investment adviser prior to making any investment decisions. Junior resource companies can easily lose 100% of their value so read company profiles on www.SEDAR.com for important risk disclosures. It’s your money and your responsibility.
