Loading ...GDX- Positioned for a pullback
I am somewhat neutral regarding if this has further to go upside or its a flameout right here. Can argue either side, however looks like we need to pull back right here right now. Note all of today’s price action outside the BB, plus todays candle is a hanging man. neither element “requires” an immediate pullback,however both together increases the probability. Stochastics and every other indicator are now headed up so it will require some time to convert this move into a downtrend.
On a perverse note this could be the markets way of cleaning out the shorts before its final liqudation move to the bottom of its 4+ YEAR BEAR. Also such a move would first require the bear to reload with fresh new long positions to give it the fuel for a new power downside liquidation
I agree, even if it’s just a 1-day pullback. Far too many of many charts show GLD and miners at various levels of resistance. Today the GDX didn’t just put in a hanging man but it did it with a gap that looks consistent with an exhaustion sequence. The other element is that the S&P is hitting major lateral resistance here and intraday my Wolfe Wave structure is turning bearish. Plus it’s come quite close to hitting it’s target which may be all it gets. Without help from the S&P, I’m not sure how much the GDX can do on it’s own at the levels and other these technical circumstance.
http://schrts.co/5qVPE0
That’s a nice SPX chart. I have been loading up on a SDS position right here over the past 2 days