During the past two weeks, or so, Market Vectors Gold Miners ETF (GDX) has declined about 16%. That said, however, the weakness represents a relatively shallow 27% correction of the entire Jan-Aug bull leg from 12.40 to 31.79.
The weakness has pressed GDX into a significant support plateau between 27.80 down to 24.00, with my optimal, corrective-target price in the vicinity of 25.85, from where I am looking for renewed buying interest and a technical, upside-reversal signal that alerts us to the conclusion of the corrective period and the initiation of a second upleg in the new bull market in GDX.
See chart pattern at https://www.mptrader...1608303576.html.
Mike Paulenoff is founder of MPTrader.com, where he provides live intraday analysis and trade alerts covering the equity, commodity, and currency markets.
