Another Day - Another Breakout!
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Wednesday’s breakout by GDX, the miners ETF, from congestion between 24.50 and 26.25 sets up a target at 30.0. (Charts courtesy Stockcharts.com)
Price is rising inside the blue channel.¬† As long as this channel holds, the uptrend remains intact.¬† In the event of a pullback there is good support at 24.00.¬† The supporting indicators are positive, especially the A/D line at the bottom.¬† The moving averages are in positive alignment and rising ‚Äď bullish.¬† A rising trend in GDX is bullish for miners as well as gold bullion.
In a precious metals bull market, silver often leads the way.¬† Until recently, silver has lagged behind.¬† Last week silver came to life after an interesting article by Alasdair Macleod titled:¬† “A Whale is Accumulating Silver Futures”. (Google the title if you haven’t read it).
Featured is the daily silver chart from Tuesday.¬† Price has broken out at the blue arrow and this has turned the trend bullish.¬† The supporting indicators are positive and the moving averages are rising.¬† On a percentage basis, silver is beginning to outperform gold, and that is bullish for silver, gold and also for the producing mines.
This chart courtesy goldchartsrus.com shows investors are adding physical silver to various trusts and ETFs in record amounts.
DISCLAIMER:¬† Please do your own due diligence.¬† Peter Degraaf is NOT responsible for your trading decisions.