Gold Miners ETF (GDX) has declined nearly over 60% in the past 8-years. Is the bear market in GDX about to end? Let’s investigate why GDX is testing one of the most important price zones in years!
GDX has created a series of higher lows along line (1) over the past few years. It has created a series of lower highs along line (2) over the past 8-years.
Last year GDX broke above line (2) for a few months at (3). Weakness after the breakout has GDX testing line (1) and (2) as support at (4) this week.
Joe Friday Just The Facts Ma’am- GDX is facing one of the most important support tests in years at (4). This could become a rallying point for GDX!
Aggressive miners traders will find this to be a rare place that they can establish a long position with a tight stop just below the dual support test at (4).
Joe Friday additional thoughts; should GDX break below support at (4), look for it to trade much lower! This is a very important price zone for miners!!!