GDX Gold Stock ETF Review

 

This GDX ETF started a bullish phase in 2018 and has carried through to the end of January, so far. If GDX  still heads higher then my diagonal set of 5 waves down will get trashed. GDX just finished a small vertical spike but a small correction below $20 would turn GDX into a diagonal set of 5 waves up. These moves can always be a toss-up between a single zigzag and a potential set of 5 waves. If this so-called bull market is true then GDX must not dip below 2018 lows and must produce a good corrective move instead.

The Gold/GDX ratio this morning is standing at 58.86:1 which is just below my record of 57.3:1 in August of 2018.  The cheap Gold/Gdx ratio was 84:1 which we may not run into until another major bearish phase materializes. Any move above the $25-$26 price range stops the wave count in its tracks and forces another review.

Reports on Fridays can send the markets on a wild reaction and I’m sure gold stock traders will not control their emotions when violent moves starts to come back.  BTW, Monday, February, 4th will have a new moon which can be very bearish for stocks as well.

Hits: 13

Share this...
Email this to someone
email
Print this page
Print