Friday 30 August 2019

A fourth month higher

The gold miner ETF of GDX ended the month on a positive note, settling +20cents (0.7%) at $29.86, and that resulted in a net August gain of 12.7%. With Gold breaking and holding above the $1500 threshold, the m/t term outlook is extremely bullish.

GDX monthly

GDX daily


A fourth consecutive net monthly gain for the miners, and the ninth monthly gain of eleven.

The monthly RSI is 69, the highest EVER. Whilst that could deemed as overbought, the m/t outlook for gold and silver is very bullish, and I'm thus dismissive of it.

Soft target for GDX remains the 2016 high of $31.28. Any price action >32 would be decisive, and offer the 50/52 zone in 2020.

Lets take a look at two of the biggest components of GDX...

Newmont Goldcorp (NEM)

A net August gain of $3.37 (9.2%) to $39.89. M/t bullish, with soft target of the 2016 high of $43.47, and secondary of psy'50/51 zone.

Barrick Gold (GOLD)

A third consecutive net monthly gain, settling +$3.15 (19.4%) to $19.38. Soft target is the 2016 high of $22.78, with secondary of the $37s.
Suffice to add, m/t bullish Gold, Silver, and the related miners into 2020.