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GDX Is Near A Short Term Low
By Tim Ord | March 13, 2017

• SPX Monitoring purposes; Covered short SPX 1/31/17 at 2278.87 =.09% gain; Short on 1/30/17 at 2280.90
• Monitoring purposes Gold: Sold GDX at 24.33 on 2/22/07 = gain 20.15%; Long GDX on 12/28/16 at 20.25.
• Long Term Trend monitor purposes: Short SPX on 1/13/16 at 1890.28



Last week, the RSI for GDX reached 29.16 and suggested GDX is near a short term low. Since then, market has bounced some. Bullish GDX market produces an RSI above 50 and bearish below 50. With the RSI <50, the first rally can be expected to be just a minor retracement and not the one to catch for longer term. The bottom window is the Up down Volume percent has which is showing a negative divergence along with Advance/Decline percent just above it. These two indicators suggest the bounce in GDX most likely will not be lasting because of the negative divergence. Most likely a trading range will be starting short term that could last several weeks. We are still bullish longer term but patience will be needed for the next bullish trade for GDX to setup. The timing for the next buy signal could come around Tax time near April 15 and possible near current prices on GDX. The Timer Digest has us ranked #2 in performance for gold over the last 12 months. Sold GDX at 24.33 on 2/22/17 = gain 20.15%; Long GDX on 12/28/16 at 20.25.

http://www.talkmarkets.com/content/us-markets/gdx-is-near-a-short-term-low?post=126503

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