Gold Stocks remain in a correction, even if the October 29 lows continue to hold into December.
Corrections are a function of price and time, and often in this sector, a correction can continue in terms of time, well after a low in price is made. But I digress.
The most significant and most consistent moves to the upside usually occur after a crash or after a major breakout.
Gold and silver stocks made tremendous moves after the Covid crash and remain in position for tremendous upside moves over the quarters ahead.As you can see, the junior gold stocks (GDXJ and GOEX) are simply correcting and retesting their recent multi-year breakouts.GDX already did so but on a smaller scale. It has less upside potential, while SIL (silver stocks) is consolidating before it attempts a major breakout. In short, when this correction is over, junior gold stocks have a good chance to run […]
November 17, 2020 (updated November 17, 2020) Published by StockMan