Several months ago a new ETF for gold stocks came out, which leaned towards smaller/junior mining companies. Below is a chart, comparing the more established GDX (larger companies) to GDXJ (junior miners).
As you can see a nice breakout in GDXJ as taken place. Is the upside break in the Junior gold stocks going to finally pull GDX higher? Resistance remains strong for GDX! For those long GDX, keep a downside stop order in play.
I have always understood that gold bullion rallies first, then the major miners rally second, then finally the junior miners rally last.
Anyone else feel the same way ??
Love the site by the way.
Thanks for the kind words! Am humbled and honored by your comments and that you look at the site first thing each day. I attempt to bring fresh new info, premarket to you and the viewers.
My strategy is called TB&M, which stand for “Tops, Bottoms and NO Middles.” I strive to find patterns that put the odds in our favor, creating low risk, high return opportunities.
I love finding these patterns for people. Sir John Templeton challenged me to do this over 10 years ago. He suggested to help people in what he saw as a difficult market for years to come. I plan on opening a new web site in the next couple of weeks.
Chris…you have already accomplished one of your goals–to have a unigue, top notch website, corny jokes and all. And possibly one of the few sites that dares to make purchase recommendations and that takes the consequences, good or bad(although, so far, all good, as far as I can remember). I had been struggling until I came across your website through Doug Short. Now, the markets are starting to make a little more sense to me. I have begun to not try to reason with market direction like used to and got crazy sometimes. Now I just take your analysis and make my decisions using your very valuable insight.
Thanks so much. I look at your site first each trading day.
Agree on viewers comments being very important!
Don’t know if I will keep the comments section going though, due to all non-related items added to this area.
I have two major goals William… to inflate investors accounts, regardless of market direction and to have a global blog/website that is uniqe/top notch with a little fun added in.
Appreciate your viewership and comments.
All the best,
Wow, i can’t believe you actually take the time to respond to everyone’s questions, I’m very impressed. Thanks for posting another reply, and so promptly! This time, I wasn’t specifically looking for a response from you, but anyone else viewing this article. Sometimes,…sometimes, the postings by viewers in general can be interesting and fun, but thanks for the time all the same.
Great question. Don’t know the answer, that is why I believe so much in price and patterns. It is above my paygrade as to why, yet am along for the ride in the metals and have been scoring on defense in the bonds the past few weeks.
See the post “Hi Ho Silver?” Very positive ascending triangles in Silver. The last couple of times Silver broke from this pattern in gained over 20% in no time.
Anyone else have any idea how gold and treasuries can simultaneously rally? And, yes, I’ve heard all the analyst reasons….China, deflation, threat of hyperinflation, low interest rates, meteor speeding towards earth. Ben Bernanke needs to get Cristina de Kirchner (la Presidenta de Argentina) on the Bat-phone as to how they’re able to produce that 20% annual inflation rate.