Thursday, 13 April 2017

GDX - a significant net weekly gain

With the precious metals pushing upward, the related mining stocks followed. The sector ETF of GDX settled Thursday -0.1% at $24.54, but that still made for a very significant net weekly gain of 4.4%. Near/mid term outlook is bullish, as a number of factors are now all leaning heavily in Gold's favour.

GDX, weekly

GDX, monthly


*we're halfway through the month, with GDX net higher by a very powerful 7.6%.

The Feb' highs are close, and look set to be challenged with the next few weeks.

We have an increasing number of bullish gold factors...

- the fear bid, via Syria, North Korea, and even Afghanistan.
- President Trump is now arguing the USD is too high. A weaker dollar is by default, bullish Gold
- underlying inflation, its still somewhat subtle, but it is out there. I'd refer anyone to the CRB index.

The ultimate issue: was Dec'2015 a multi-year floor for Gold and Silver, with Jan'2016 a key floor for the related miners?

I believe so. For now, the mid term trend - that links the late Dec'2015/Jan'2016 and the Dec'2016 lows remains comfortably intact. Things turn hyper-bullish with Gold $1400s, Silver $22s, Copper >$3.00, and GDX in the $32s. 

If you are serious about the Gold mining stocks, then pick up my latest report.