GOLDBUGS AMEX Goldbugs Index (GOLD)

[DiscoverGold]

The Ord Oracle
By: Tim Ord | September 27, 2017

• SPX Monitoring purposes; Short SPX on 8/30/17 at 2457.59.
• Monitoring purposes GOLD: Neutral
• Long Term Trend monitor purposes: Neutral.



The last report for the COT Commercials came in at 253K short and the previous week at 272K short both of which are bearish. Above is the monthly GDX chart going back to 2007. The monthly Bollinger band is starting to “Pinch” suggesting a large move is not far off. There is a Cycle low due in December and maybe where this move starts.The monthly mid Bollinger band is rising and the monthly RSI is >50, suggesting GDX is in a Bullish mode. In Elliott wave terms, large “Wave one” started in January 2016 and was confirmed with a “Sign of Strength” (large volume and strong price move) and ended August 2016.Large “Wave 2” started in August 2016 and is on going and may end at the next cycle low due around December. We didn’t label it, but there appears to be a Head and Shoulders bottom forming where the Head is the December 2015 low and “Right Shoulder” is forming now. This Head and Shoulders bottom has a measured target to 53 which is also the late 2012 high and our target. There could be minor up and down swings over the next couple of month and the Bollinger band may “pinch” more. Time is running out on “Wave 2” and “Wave 3” up to begin. Next year should be a good year for gold stock. The top window is the monthly Bullish Percent index which stands at 35.71%. When the Bull run in GDX starts this index should jump to 60% or greater and something to watch for.

http://www.talkmarkets.com/content/us-markets/spy-three-drives-to-top?post=150863

• DiscoverGold

Click on "In reply to", for Authors past commentaries

*** For Market Direction and Trends visit our board:
https://investorshub.advfn.com/Market-Direction-and-Trends-26249/