Gold Miners ETF (GDX)

[123tom]

Heres the chart now....what does it look like to you.

http://stockcharts.com/c-sc/sc?s=GDX&p=D&b=5&g=0&i=p30473657944&r=1409976240489


The down wave happening now might hold here at the 200 ma, might bounce back to big resistance, might hold support at 25, and might rally to higher breakout targets toward 30.....or it might hit resistance after the bounce ,resistance at 26, and the make another big downwave to test the 23-21 area.

The usual Elliott wave structure would have GDX downwave go in 3 parts, ABC, the current downwave looks to me like it could be a completed 3 wave movement. ABC....but on a larger scale...and a trickier pattern, over a longer time frame.... this could be just the Wave A .... the next several days and weeks, could show more clues. verifying wave A completed or the whole ABC completed. . IF the whole ABC correction is completed, or when it is completed, we should soon after see a Big Rally wave take GDX to much higher targets at least to 30-32 area and ultimately to test the 40 zone.

IF the current downwave is just wave A, then the next rally bounce , wave B should Fail at the 2 resistance, and then Wave C should retarget the 23-20 area.

Two different looking wave structure. waiting to show more clues in the coming days and weeks.

Its a tricky puzzle to watch the waves go up and down, and make sense of which direction the trading targets will ultimately go to make money for a trader. GDX is in a tricky middle zone now. Counting elliott waves can usually show the wave structure target zones, and the greater picture target zones. but here in the middle area, where two very different scenarios show very different targets...one up to 40 and the other down to test 20 and right now the sense of which direction , being at a balance middle zone.... it could go either way, at this moment. and it could even start going one way and stop half way and begin going in the other target direction. and even this explanation will sound convoluted trying to describe the wave pattern ahead of time. I can see it, but its tricky to describe.

Watching GDX bounce here and seeing what happens at the 26 resistance area will be insightful when the time comes.