Wednesday, April 20, 2016

Gold Miners (GDX): Well, That Was An Ordeal

I was ravaged with depression and guilt today when GDX was up 2.00% during the day, but in that particularly bipolar way that the market (and traders) tend to be I found it to be down 2.00% in the last five minutes. I still haven't figured out a reason or trigger for this fast transformation, but if we look at the daily GDX chart a significant rejection of the upper resistance line took place and the bearish ascending triangle is therefore still in play and may still come to pass. Don't forget that COT's put commercial shorts very strongly against gold and gold miners at the moment. Additionally a short/sell signal just went in on the RSI(5) indicator.