I wanted to give you the latest snapshot of the precious metals as we wind down into the new year.
GDXJ is breaking above a short-term downtrend line today after the lower low had some positive divergence.
GDX is doing the same as it bumps up against the MA 50. That remains key point #1. #2, a higher high to November, would be a strong sign of a trend change.
GLD has also broken a short-term trend line and is flirting with trying to get above the MA 50.
SLV is in a less defined pattern and looks sloppy. Like the others, the SMA 50 is Thing 1.
GDX-GLD and SLV-GLD do not yet indicate leadership. They are also dealing with the MA 50’s.
Summary
Positive progress is slowly being made toward a bounce (if not a trend change) for the sector, but the HUI-Gold ratio especially, should be watched for leadership and positive signals.
