“It had to stop for a pullback at some point and if it completes as only a small pull back that will obviously be a good sign. I thought the HUI held up quite well correcting only 2.7% (very well considering the size of preceding gains). The trick now will be working out whether it will be a 1 day correction or a few days before jumping back in.”
It looks like it was only a one day correction. After a small 2.7% correction it added another 5.6% last night. 4.6% gain for the GDXJ but that only corrected 0.2% the prior day so it was overall stronger than the HUI. Hard to imagine our sector not being strong today. Whenever this selling in ABU is done we should have a big catch up rally. With each day that passes this gold sector is looking more like it has bottomed and is getting ready for a large move higher. Gold now 1339. I think when it breaks 1350 it will be a fairly rapid move to 1500-1550.
ABU Price at posting:
3.4¢ Sentiment: Buy Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)