Wednesday, 28 May 2014

Gold miners continue to dig deep

With precious metals breaking lower yesterday, the mining stocks are greatly suffering. The miner ETF of GDX fell a further -1.5% @ $22.07, and looks set to lose the $20s this year. Near term outlook is most certainly... bearish.

GDX, daily


The metals broke lower yesterday - as expected, and that is putting strong downward pressure on the mining stocks.

This is despite continued broad upside in the main market..and is EXACTLY what I have been noting since 2011.

If Gold slips to the low $1000s, even the 900s, the miners will continue to fall, regardless of however strong the main stock market might be.