If gold is going down after a half year rally. What do you think the junior miners will do? Yes they are going to fall too. After an unsuccessful break above the 200 SMA it tried to tag it but couldn't even rise to the 200 SMA. And today we are turning down sharply . I have to note that this cycle in the junior miners was extremely weak. Even weaker than the GDX cycle. During the last few days banks were building a bull trap pulling in more and more traders onto the bull train.
GDXJ is going to break below the december low.
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Holding the position. This might be our big day.
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LetsBeMillionaire
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Today rebalancing happened and all big cap added to gdxj. Volatility will reduce and mostly its bullish now.
lantao517
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but GDXJ still hold 20-days MA, even XAU dropped quite a lot yesterday. Maybe so many bullish view there, how do you think about it?
Nightstar
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Again, I would be very careful trading the juniors. They've behaved rather irrationally ever since they've been forced to re-balance.
bschafer
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Giant wedge forming?... looks like something big will come by 1st of August. Hopefully it is chart watchers red arrow.
lantao517
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Hi CT, just like you, I tend to believe Gold just did a bear rebound yesterday, and Gold is still in the downward trend and see bottoms ar around 1170-80. But GDXJ, as leading indicator, bounced quite strong yesterday with good trading volume, could you advice it's a big reversal or just a bear rebound?
lantao517
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Hi CW do you expect GDX to bounce now? Because you expect XAU to get bounce soon