Gold stock sentiment indicator
These are my opinions, not advice.Yesterday was bargain hunting day.
Nice rise on international indicators overnight and you may end up chasing prices today.
Plenty of articles to suggest what has been happening to gold stocks.
Be aware; the gold market and their stocks are one of the most liquid on the exchange.
While many stocks are tied up in ETF and mutual funds, I believe percentages are much lower than tech, industrial and other mainstream stocks.
GDX and GDXJ usually hold less than 10% of most companies and are regularly rebalanced.
Blackrock and similar have a different strategy and target performance and growth.
My portfolio value has dropped back to 0% profit. This is November gold price ($1,450) for reference.
We are in for a hell of a ride. Strap in.
Might do a bit of rebalancing and eliminate some of the weaker stocks. Depends on todays’ market response.
Hopefully the last few days have cleaned out holders with stocks tied to margin calls.
I do not think the rebound on the US market will last. Stimulus can only do so much such as increase debt.
Still have their heads rectally implanted with respect to COVID-19 and consider it a mild flu.
The cancellation of major sporting events (Olympics probably be postponed) is a pretty big red flag.
This did not happen during other major outbreaks.
You may want to shorten trading time frames. I certainly am.
Heaps of stocks are in a double bottom position or sitting on support.
A few have broken minor short term up trends.
Gold stocks could go lower but practically everything is suggesting up from here.
Would need to break a number of serious trends on some pretty good stocks to go lower
I think we are in for a nice run. Good luck everyone.
I doubt you will see a chart like this again. But who knows?
