The underperformance of gold stocks against gold may be about to change as we can see in the charts.
the chart of gdx against gold is showing gdx has underperform against gold by a wide margin bur gdx is about to print a double bottom which
may reverse the underperformance.
One of the reasons the gdx is performing so poorly is the fact that it consist of some large gold stocks which are weighing down the sector mostly due to poor management and the fact that it is much harder to grow a large cap mining stock with miners often paying too much for their acquisitions due to a lack of large targets. But the downtrends of some of these large gold stocks are starting to change as can be seen by the charts of newmont and barrick which have both printed a reversal pattern in their daily chart which is a first but very important step to a change of trend
