gold, page-86942

Gold stock sentiment indicator.
The anticipated pause is in place.
No particular concerns as stocks held their ground.
Considering the sell-off in $USPOG overnight (1.5%), overseas gold stock indices were only down a little over 0.5%.
In other words, stocks are still considered undervalued and appear to be tightly held or in demand.
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There is only a few $ difference between spot and futures prices.
Keep an eye on this. If prices slip into backwardation, real-time metal shortages will be the cause.
There is a 10-15% premium on silver bullion so metals do appear to be in relatively short supply (at least overseas).
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Leading indicators have reversed to the 50% area.
Today will probably be pretty tepid for gold stocks but news will generate moves.
This has been rather selective. Not all stocks are responding in the same way.
This changes as the indicator tops out and a little euphoria creeps in.
There could be a larger reversal in the indicator given how quickly it has run. Relatively normal behavior.
A couple of month of serious trading coming up.
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Gold stock trading cycles are clearly obvious in the indicator.
The interruption by the capitulation sell-off is apparent though the cycle reasserted itself.
A run this hard from the lows will have some wind taken out of them so expect some selling though nothing too dramatic (unless you have a dog).
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Here is the indicator.
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