In pre-market, GDX has broken through the SMA 50 (blue) at 38.02, and is making an attempt to fill the down gap from last week at 38.34. It did not bother to fill the downside gap at 35.89 before making this would-be (it’s pre-market, after all) move. However, taking out the SMA 50 increases the odds that the corrective pullback could indeed be over. Let’s see how the sector finishes the week, to firm up on that.
The sector’s speculative leader, Silver, is making a move on resistance and the 50 day average. Clearing the SMA 50 and then the August high of 30.19 sets it free. Our next target is and has been 35. There is still work to do for both of these items, but they should be watched closely here.
