This gold market reminds me of one of those pictures that you can see both ways.
Old lady or young lady?
Rabbit or duck?
Chart looks ominous for a drop to NEM $34-$38 but there are many other signs that make one wonder if the obvious count is wrong.
1) Volume is very low. Any time that the golds have been punished it has been on very high volume. During the drop a year ago there were days of drops of more than $2.00 in NEM with 4 times today's volume.
2) Stocks are oversold. Can not find a time when a decline a magnitude began in the golds when they were this oversold. This has been the spot for the beginning of large rallies not declines.
3) Some stocks are turning. Some golds have seen the lows and the action in stocks like CBJ today is a good sign. Huge volume confirm on CBJ.to today.
4) Silver stocks are outperforming. Silvers usually go down a lot more than golds but are hanging in there.
5) Gold and Silver was up today. Just plain weird.
Of course all of this can change. Volume can come in and silvers can get creamed but it does make one wonder. I added today.
HMY does look like it wants $6.00 and this may whack the $HUI. It may also be one heck of a buy if it bounces there.
Big days ahead to see if the $SPX can hold the 1150-1163 support. If that goes I will put the bear suit back on and return the bull horns that I rented.
Completed zig-zag correction?
stockcharts.com[p,a]dicayyay[df][pb50!b200!i][vc60][iUb5!Lp14,3,3!La12,26,9!Lb14]&pref=G
Zig-zag complete at $6.00?
stockcharts.com[p,a]dicayyay[d19930413,20050413][pb50!b200!i][vc60][iUb5!Lp14,3,3!La12,26,9!Lb14]&pref=G
Just not bearish LT
stockcharts.com[p,a]dicayyay[d19900413,20050413][pb50!b200!i][vc60][iUb5!Lp14,3,3!La12,26,9!Lb14]&pref=G |
