Goldtent TA Paradise

SIL and SILJ hit some interesting spots today

1. Nautilus says:

   March 12, 2020 - 6:09 pm at 6:09 pm

   Without question one of the worst decisions I ever made was buying silver miners over 2015 and 2016 thinking they would outperform gold miners over the long haul. I am up over that time still, barely, but the opportunity cost has been absolutely devastating. Basically none of the upside of the general markets but all of the downside and more. Waiting 4 years, patiently as the miners based out to be greeted by this at the other end. Thinking that I would be rewarded for forgoing the excesses in the US stock market. It’s quite hilarious, and depressing.

   The miners are screaming that gold is about to join the massacre, so there is even more pain ahead in all likelihood over the coming weeks and months. That being said, they will approaching oversold levels in the next week or two that are likely to lead to a bounce or at least a slight respite. But when an major ETF can drop 26% in a single day (GDXJ today), oversold is meaningless.

   If I didn’t know better, GDX:GLD was screaming this was coming back in July when it diverged dramatically as gold broke out. This is exactly what it did pre-2008 crash.