If This Move Fails, It’s Over

Gold bulls are doing everything they can to re-establish the up-trend.

This morning’s action was a deep upward test of miners GDX, and not as deep for gold itself (GLD).

The bulls were able to open higher in both GLD and GDX; then driving action upward into an early morning test.

At this juncture (mid-session) that test is wavering.

We’re going to inverse fund DUST, on the 2-Hour basis to show the fight that’s taking place.

GDX Leveraged Inverse DUST:

Un-marked 2-Hour chart

Adding the notes.

With Zoom.

As this update is being posted, it’s still unknown which direction DUST is headed; currently trading at DUST 19.35.

Summary:

We’re at the danger point where action can go either way.

If the gold bulls can’t hold and DUST makes a new daily high (GDX, new low), we have a decent confirmation, we’re at the end of ‘the first correction.’

Stay Tuned

Charts by StockCharts

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The Danger Point®, trade mark: No. 6,505,279