Nightingale showed the perfect backtest in $Gold and how it backed off.
SilverFox then showed a perfect backtest in the HUI in a post below mine.
The same backtest is seen perfectly in GDX… and lastly I wanted to show the perfect backtest in GDXJ as well.
When I look at all of these things together, it looks awfully bearish. Backtests in gold and every miner index I look at. If it looks like a duck…
In the chart below, you can see that each successive high is lower than the previous. Its moving in a reverse parabolic fashion. If the long term support level at 28 breaks, it’s in big trouble. Honestly, the whole thing looks like a reverse cup and handle.