GDX/GLD: Miners against Gold ratioMiners working on a bullish engulfing week so far and a right shoulder against the metal.
If symmetry is any guide, hints that we will have maybe another month spend in this bottoming IH&S formation.
Cheers
P
SIL
GDXJ/GDX Ratio put a piercing line candleJuniors/Large producers ratio put a piercing line candle yesterday in the daily (not shown), right at the last weekly support/demand zone.
If confirmed, might be a good signal that Gold has a chance to go higher like the last time it happened and fight the outside weekly reversal which is an ominous sign on its own.
A close above 1,52 in the ratio will be good for the IH&S structure that exists both in miners and gold, hinting that 1,59-1,62 area is achievable.
Bear in mind, that both are still in a downtrend and last week's sentiment data does not yet reached pessimistic levels, while public opinion in Gold is at medium to low level and not yet in extreme negative zone. GOFO rates are negative for the last few weeks, always a good sign for PM complex longs.
