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Gold Miners Show First Bullish Evidence

Wavetraders - Thu Nov 24, 9:50AM CST
Mining Equipment - Large Mine Bucket Wheel Excavator

Gold is trading bearish for the last 2 years, but from Elliott wave perspective we see gold miners chart finishing an A-B-C flat correction that can be easily supportive for gold.
Technically speaking, gold miners chart is bouncing away from important support at 78,6% Fibo. retracement and 161,8% Fibo. extension. Now that is just about to break first bullish evidence level, seems like bulls are kicking back, so we should be aware of more gains on gold, just be aware of short-term pullbacks.

GDX Daily Chart

The main reason for the gold market rally is a reversal down on US Yields and US Dollar-DXY after a completed 5th wave. So, both of them can easily see more downside pressure due to a negative correlation, especially if we consider that gold is back to bullish mode.

US10Y vs. DXY vs. GOLD Weekly Chart
On the date of publication, Gregor Horvat did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes.