Very simply taking a look at the 60 min. and daily charts of GDX, we find confluence with the original pullback target.
60 min. GDX is in a topping pattern that measures to 14.50 (17-15.75 = 1.25; 15.75-1.25 = 14.50). It is right at critical support to avoid that outcome.
GDX daily is back below resistance (August high) and if that is lost there is little visual support until 14.50.
Funny how that works, isn’t it?
Anything is possible, but the odds of 14.50 to 14 look pretty good to me. If those levels eventually come about it would be time for gold stock players to evaluate whether this is a healthy pullback with GDX 17-18 and HUI 150’s still the eventual targets or something else. So far I don’t see any reason why the former is not still in play, but sentiment and CoT have needed to be cleaned up.
