State of the HUI - Goldstocks:
I don't think it really took that much outside of the box thinking to anticipate that Fund Mangers were going to significantly discount the level to where they would take goldshares relative to the Price of Gold here of late - given the multiple failures of both the metal and the shares - to break thru prior resistance.
Of late, we've had a market where both Currencies and other Commodities have led Gold.
And Gold the metal - has had to lead the goldstocks.
Earth to the Pom-Pom Wavers:
Those are NOT the characteristic's of a Breakout to new highs for either Gold the Metal, or the Goldstocks !
The Stocks need to lead the Metal... and they are not.
Gold needs to lead other commodities and currency moves as well....and it is not.
- it is following and lagging.
Untill that changes.... this is not a time to be fully loaded into goldshares and missing opportunities elsewhere, as you can't seize opportunity if you're already fully invested... nor, can you buy 'em back cheaper.
If the POG holds it's trading range... HUI 190 should be a level of strong support "if seen"...as it will be both the lower band of the present trading range and was a level of strong support earlier this Spring.
I'll repeat this again as well:
WE NEED A RETRACMENT AND RETEST OF THIS MOVE - BEFORE WE CAN BREAK THRU RESISTANCE AND MOVE TO NEW HIGHS.
HUI 190 would be a 50% retracment of this move and it should be welcomed as a longterm positive and it should also be anticipated as the next support level here,if we break thru the HUI's 200 dma of 204.24 - which is only a tic' away fwiw...
stockcharts.com[d,a]daclynay[d20040901,20050823][pb50!b200!d20,2!f][iut!ub14!lp14,3,3!lah12,26,9!ll14!lk14][j57493664,y]&listNum=2
The HUI gave us +40 points in just 20 trading days - from HUI 165 to 205... and now 9+ weeks later - we're right back to HUI 205.
No Professor Roboto Ski-Daddy, or MIA-Bear Mega-Fractal - "The Big One" Mother of all Rallies yet...
- whodathunkit ?
;) |
