Tuesday, 11 February 2014

GDX - continued strong gains

With the main market rising, and higher Gold/Silver prices, everything is now in favour (at least for the short term) for the miners. The ETF of GDX, closed +3.85% @ $25.65, the first daily close above the 200 day MA since January 2013.

GDX, daily

GDX, monthly


Arguably, today's daily gain, is reflected even better on the monthly chart

Next upside target is the 30/35 zone, the latter of which is a powerful 40% higher from current levels.

Certainly, the next few weeks..and 2-3 months could see a long awaited multi-month bounce.

...and indeed, I'd still call it a bounce.

*If the main market sees a sig' correction this summer, the mining stocks will get whacked lower, barring some jump >$1500 Gold - which seems completely out of range right now.