Wednesday, 19 February 2014

Gold correction over ...

After a major correction, gold has lost it's shine and people have not been talking much about them recently. Most of the people were worried about the tapering, stocks and interest rates, this might be a good opportunity to relook at gold again.
In the recent Barron's Roundtable, gold and gold mining stocks were highlighted by few gurus, and in particular George Soros had added gold mining stock into his portfolio. One of which is Gold Miners ETF (GDX).

Let's take a look at the daily chart then follow by the weekly chart.

In the daily chart above, the last closing price is above the 200d MA, this is quite positive, and the 10d and 20d MA has also trended up. When will the 50d MA cross 200d MA, which is the technical divider between the Bull and Bear.
In the weekly chart above, the closing price is above the weekly 20 MA, and 10 MA has trend up as well.

So who's been buying for the past few weeks, when not many people are looking and can this upward trend continue?

No comments: