In this video we take a look at the big picture outlook in Gold, which is building the handle part of the super bullish cup and handle pattern. We also examine the key downside levels for Gold as well as gold stocks.
GDX & GDXJ are oversold right now but are not yet at strong support. Should they fall by $2-$3 from here then they would hit very strong support levels and oversold breadth readings would hit an extreme, leading to a sustained rebound, at the end of winter.
Jordan Roy-Byrne, CMT is a Chartered Market Technician and member of the Market Technicians Association.. He is the publisher and editor of TheDailyGold Premium, a publication which emphasizes market timing and stock selection for the sophisticated investor, as well as TheDailyGold Global, an add-on service for subscribers which covers global capital markets.