GDX Breakdown, Draws Nigh?
We’re not there yet and anything can happen in the meantime.
However, Senior Miner’s GDX, price action has moved lower during this session as expected.
Today has offered up one more clue for the bears provided GDX closes lower.
That is, we may have a channel confirmation:
Fibonacci time sequences are not necessarily always at price extremes. As shown above, they can define the width of a trading channel as well.
If this short (sell) set-up fails (GDX moves higher), we now have a definitive stop area for inverse fund DUST (not advice, not a recommendation); somewhere around: DUST 19.80 – 20.00.
Steven Van Metre in his last update, gave data on how the dollar is in a rally and nearing breakout position.
So far, there’s still a negative correlation between the dollar, gold, and gold miners.
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