The Dow was down over 250 points yesterday, yet Gold stock ETF (GDX) was up on the day.  Surprise you?  The majority of this year when the broad market sold off hard, gold stocks had a hard time holding their values. 

Below is a chart I shared with “Premium Members” on 7/13, reflecting the second weakest performance of gold stocks compared to gold since 1997.  This weakness and the position of GDX on the chart on the right below led us to buy GDX.


Since “Premium Members” bought GDX based upon the above chart….GDX has outperformed the 500 index by over 8% through yesterday (see chart below) and so far the spread is getting even larger today.


The relative outperformance of gold stocks to the 500 index is really strong of late and represents a good sign for the gold stocks, since the broad market is down and they are up!

If any blog viewer would like an update on the historical under performance and opportunity in the gold stocks send me an email at [email protected] and I will send you and update chart on the gold stocks compared to gold.



How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past