Profile image
By ETF Daily News (Reporter)
Contributor profile | More stories
Story Views

Last Hour:
Last 24 Hours:

Gold Mining ETFs Could Either Break Out Very Soon — Or Crash Again

Friday, January 13, 2017 5:41
% of readers think this story is Fact. Add your two cents.

From Taki Tsaklanos: It is that time of the year where the gold market is trading at an important spot. Gold miners will undergo a very important test in the coming weeks.

Smart investors are focused on a minority of price points. Not every price has a similar importance. Gold miners, for instance, as represented by the GDX ETF, have a very high importance in the 22.50 to 27.00 area. Why? Because that has been a long consolidation area in the past, and it marks the resistance area of the bearish trend in the gold mining sector.

Note that this price level coincides with a level of similar importance in the HUI index, as explained in Buy Gold Mining Stocks? Patience Is Required As A Big Move Is Brewing.

After gold’s retracement since last summer, a small bounce took place in recent weeks. Uncoincidentally, it brought gold miners right at the point of resistance.

The key question is how the gold mining sector will react in the 22.50 to 27.00 area. More importantly, however, is whether they will be able to break through that area.

Gold investors are watching closely what happens in the gold mining space in conjunction with the 100 level in the US Dollar index.

gold miners

The Market Vectors Gold Miners ETF (NYSE:GDX) was unchanged in premarket trading Friday. Year-to-date, GDX has gained 8.13%, versus a 1.34% rise in the benchmark S&P 500 index during the same period.

GDX currently has an ETF Daily News SMART Grade of C (Neutral), and is ranked #6 of 29 ETFs in the Precious Metals ETFs category.

This article is brought to you courtesy of Investing Haven.

You are viewing an abbreviated republication of ETF Daily News content. You can find full ETF Daily News articles on (


We encourage you to Share our Reports, Analyses, Breaking News and Videos. Simply Click your Favorite Social Media Button and Share.

Report abuse


Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

Top Stories
Recent Stories



Top Global

Top Alternative



Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.