A little micromanagement of the gold stock sector since a) it’s the favored sector for 2023 and b) it has tentatively taken out important resistance that we’ve identified as a potential gateway to a big bull run (HUI target: 500 +/-).
HUI daily is clear enough, as it took out the SMA 200 on Tuesday and rammed through resistance at 240 yesterday. Key support – tentative though it is – is 240 down to the SMA 200 (232).
One poke through resistance does not a breakout make. So now the objective is to hold it as support on any coming volatility and if that happens the big picture we’ve been tracking for years then takes over. If the analysis is correct that the most recent low was the end of a bull market’s 4th leg (down) then we load the 500 target (not necessarily a stop sign, but first things first, eh?).