NFTRH; Nearing 1st (but not best) HUI Target; Daily, Weekly & Monthly Charts [w/ edit]

[edit] Please excuse the chart, which does not agree with what I’ve written. In my haste I did not adjust to the fact that the SMA 200 has risen to the 38% Fib level from the 50%. I still see 280 followed by 260 as the better targets. But I wanted to clear up any confusion.

Daily HUI shows that minor support at 300 is just about being registered. That may or may not instigate a bounce. It could also end the correction.

But as a reminder, the best target is the intersection of lateral support and the rising SMA 200, which coincides with the 38% Fib retrace level and also the lower downtrend (consolidation) channel line. This all happens roughly at the 280 area. Secondary targets are the 300 area as noted above and at an extreme, the 50% Fib retrace to the top of the February-April crash pattern.


The weekly chart agrees that 280 is a support area. The Fork is a TA novelty, so ignore that. But that area coincides with the 2016 highs, which when exceeded this year put HUI on a cyclical bull. If the macro does not get off the hook (i.e. does not all-out crash) 280 +/- really should hold to keep HUI’s picture nice, normal and comfy.


The monthly chart reminds that this could have been an ill-fated A-B-C bear market upward correction. But if indicators like HUI/SPX (still intact), HUI/Gold (intact but testing the SMA 200 as expected) and Gold/SPX (as noted in the earlier update) remain bullish then I will be keeping my bull costume on this Halloween. Assuming intact gold sector macro indicators this would be a normal test of the bull market breakout.