chartwatchers
Long

Gold and Gold miners - Strength or weakness?

AMEX:GDX   VANECK VECTORS GOLD MINERS ETF
5684 102 62
3 months ago
I will post a very interesting chart.
Gold             miners seem to be giving up the rally. In the past when SLowSToch and RSI got oversold it was the sign of the daily cycle low.
I think this will be the same. As today we broke out of the Bollinger Bands I have to say we are very close. Volume is supporting us : we will have a bounce tomorrow or Thursday.
In the last half year during the initial phase of the miner bull rally we broke out only once of the Bollinger Bands: at the last ICL (25.05.2016.)

50 EMA was supporting the rally all the way up. Today we are at the 50 EMA.

We are talking about gold             as a weak vehicle now. But if we are watching how gold             was moving together with GDX             in the last half year we have to say now that gold             is not following the miners in this dip.
It's not weakness, it shows strength.
If miners are bouncing tomorrow or Thursday we will get our gold             pop also.

I'm buying GDX             , GDXJ             up to 20% margin impact.
3 months ago
Comment: We had a big contract dump today at 7:40 EST in gold.
Miners will open with a GAP.
If we fill the gap immediately after the open someone just pushed down gold's price to get a better entry price for the miners today.
snapshot
3 months ago
Comment: GDX is out of Bollinger Bands.
This will not last for too long. We are bouncing soon.
snapshot
3 months ago
Comment: Buying 10% GDX and GDXJ .
Margin impact is moving up from 20% to 30%.
Price is 28.14 GDX
3 months ago
Comment: 46.13$ GDXJ
3 months ago
Comment: Sea of red. Stocks, oil, gold, miners, Euro.
They are selling everything except NatGas and the Dollar...
lbg01 PRO
3 months ago
So who follows who? Is it miners follow gold or the other way around?
I tend to think Miners follow gold, but then again...
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lbg01 PRO
3 months ago
By the way, thanks Arpi for your charts, ideas and insights
Greatky welcome!
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saif12 PRO
3 months ago
Not this time.
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toothless
3 months ago
Wow, that kind of insight is pretty impressive. I sold off my miners last week in order to move into the energy trades. Looking forward to watching on the sidelines as this unfolds. Thank you Arpi!
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Nightstar
3 months ago
I'm interested in this trade as well but would like to see some sorta divergence before buying a few shares. Similar to what we saw last month...

snapshot
+1 Reply
Proph1t PRO
3 months ago
maybe just coincidence but both times we are crashing the bollinger band, it is CME Options expiration week on silver contract http://www.cmegroup.com/tools-information/calendars/expiration-calendar/

if we get a pop look for it after options expire this friday

also the 3x gold etf's are getting split this week so i doubt we will get a pop before these events settle
http://www.prnewswire.com/news-releases/direxion-announces-reverse-and-forward-share-splits-of-nine-leveraged-etfs-300304402.html
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Ibrahim_Maher
3 months ago
hahahahahahhahahhahahaha
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thanks Arpi. I hope you are right.
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alanprotrader
3 months ago
I am holding my long positions, already 100 pips in negative. Do you think this is the final move down on gold?
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Harleyquin alanprotrader
3 months ago
mine already over minus 300 pips.
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alanprotrader Harleyquin
3 months ago
woww.
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DXY rules this fall in Gold
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desmondlang123
3 months ago
Looks like this time it will drop all the way to 100 EMA before bouncing back up. What do you guys think?
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It is panic sell
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Mitasse pbartashevich
3 months ago
it is possible, could we also be heading to the dcl ?
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chartwatchers PRO Mitasse
3 months ago
In gold miners : yes it's a DCL coming.
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pbartashevich PRO Mitasse
3 months ago
Well yes definately in Silver. But if Gold will not make new low they will get out of synch but will have to resynch back at some point. So I would like to discuss it as it is quite interesting.
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caneman pbartashevich
3 months ago
not out of sync, silver will just have a shorter cycle this time
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