Gosh, I hate to be so bearish but...
Looking daily charts of the likes of HGMCY MDG GLG I come away with the feeling that unless the dollar moves lower significant Monday and the stock market is weak these miners and others are going lower.
MDG - five days of distributional volume and all indicators pointed lower.
siliconinvestor.com
"Make no mistake, the gold price must go higher for the shares to keep performing," says Bishop, who has been following gold companies for more than 30 years.
Absolutely correct, and now long term capital gains are in play and those holders will be a weight on advances.
Look at the valuations in this research report....maybe they miss the boat and are misleading, but the picture they paint is one of high valuations unless the gold price is significantly higher.
researchcapital.com
HUI - little positive curls came through in the RSI DMI and Ultimate on Friday but current values are below declining shorter term moving averages and the 50 day. Failure to quickly and smartly extend Friday's move and the thing goes quite bearish. I see the 200 day ema coming into play.
stockcharts.com[h,a]dbcaynay[dc][pc50!c200!c20!c13!f][iut!Ul14!Lb14!Lya7,14,28!Ll14!Ld20!Lya7,14,28]&pref=G
Again a sharply lower dollar and a sick general equity market might save off a decline, here, or a further down in the form of a one day cleaning or retesting spike at quarter's end could be healthy if it quickly reversed, but those are "hopes" in a deteriorating technical picture in my opinion.
Frankly, I'd prefer to be wrong at this cross roads as I have a miner position still, and maybe just maybe we rally hard early next week in face of the odds, making the pull back of the last week a pivot point of significance. Again the "hope" is in the prospective weakness of these two charts.
P&F USD
stockcharts.com[PA][DA][F!3!0.15!]&pref=G
P&F S&P 500 (SPY)
stockcharts.com[PA][DA][F!3!1.0!]&pref=G |
