Loading ...HUI – Are we on the road to nowhere?
I am sure that many are getting fed up that the miners have not really moved over the year so far, and we have seen lots of sideways action. Well here are some figures to contemplate:
In Nov 2006 the Hui was at 338.20 and 11 months later on the 5th of September 2007 it was at 337.06. Basically it went absolutely nowhere over 11 months!!
However, by Nov the 7th that year it was at 463.06, a 37% + rise in just two months.
Here’s hoping history will repeat. Roll on November 🙂
Thanks for pointing that out. This kind of reminder is very good for newbies like myself. Cheers to a swift move soon =)
Cheers dyu. Could still bomb from here, of course, but the point is there is nothing new in miners doing this sideways action. I think we all get used to the SM rolling up in a nice upward sloping channel and it is not going to be that way with the miners. The problem with the next rise is when to take profits, as many may well jump too soon this time after what happened last year! Also the big producers may lead this time and the juniors will play catch-up.
In the camp HUI up SM down after GDX tests the $19.75 zone…
Yep OML fits in with 07/08 period as well.
Sounds good. I do think we are at a similar point of time as 2006. I think gold could challenge the old highs this year but doubt we’ll really get going above $1400 for another year.
https://goldtadise.com/?p=408811
I think that the expectation of a $USD rally is holding everything back. It seems that that has be resolved first, IMVHO. V
Yes totally agree MM we may well see a bounce with PMs falling in the short term, but the way things are going I do not think it will last. Its a real wait and see situation, which will not be easy on those like me that are long the miners!
Patience my Pretties
https://stockcharts.com/h-sc/ui?s=%24HUI&p=M&yr=20&mn=0&dy=0&id=p13532197089&a=528709283
Nicely spotted OJ. Lessons from the past are useful at times like this. For me, it’s about being on the right side of the trade by using long term trends. Short term is tricky because unforseen events can temporarily cause things to go against the trend. Gold started it’s rise in early 2016, which was a little early in the cycle. We stalled because everything else needs to catch up and ‘line up. The dollar played a part – it needed to top (which it now has). 2017 or 2018 was always my favoured timeframe to get the wind behind us for the main event to get underway. Get your ticket now, buckle up and wait patiently. As long as support in the $1180 area holds, we’re good to go.
Cheers NS. Yes $1180 is key as is $22 with GDX, but we still could see a curved ball or two yet to try and throw us off.
Certainly possible, but if the long term cycles are still valid and hold true, time is running out for any meaningful down moves. Famous last words 😉
Yes just a small move down will do. On the edge of the sofa now as it’s getting really tight. You get the feeling something is going to give soon. VXX is ridiculously low and the miners are just sitting there waiting! I am so glad its the weekend I need a break and a drink 🙂
Ha ha – yep, get out, relax and forget about PM’s for a while. A nice cold beer sounds good 😉