Precious metals are up between 4% and 7% this morning alone
and gold miners yesterday had the highest volume day
ever (using GDX, the ETF).
Furthermore , the chart shows a potential reversal formation
that if confirmed (ie gdx closes above 30) signals a move to 40, ie almost 40%
higher from here.
Given the absence of gold mining stocks from almost every
portfolio, I wouldn’t be surprised if the short covering/long buying pushes
prices very high, very fast.
A failure to hold the 25 level would signal a continuation
of the bear market.
