After looking at the platinum chart I to adapt and adjust it for the GDX. This wave count makes the 2015-2016 bottom my Primary degree “A” wave. Moving the Primary degree back to 2015 is like time traveling into the future.
It’s a mental shift that has to be done every time we move a single wave position around which may not seem important to most, but the difference between Primary degree and Cycle degree could be 100 years difference.
The center line is where GDX bounced around the $21 price level. GDX at $21 found support and resistance about 12 times in the last 4 years and it still may dip below that in the next week or so.
The Gold/GDX ratio also spread a bit more and is now sitting at 61.33:1. This is not as cheap as I would like to see it, but we could be hitting a “Ratio Brick Wall”.
If this bullish scenario is even close then GDX should break well above the $30 price level and on a good day may even head to $34.
Short term for the rest of this month, anything can still happen, so we have to keep an eye on GDX. What we need is the spike to stretch a little longer, which might motivate me to take a long position in GDX.