I noted last time, that though the price was hit hard, the miners declined on light to average volume, and nearly all remained above or at price support. I said, we need to see if price will hold here… and, at least as far as Tuesday went, it did. So, what would I expect the charts to look like? They’re all up, but I would expect light to average volume, as I would think some caution would be in the market, wondering if support will hold, and a new leg up in price could commence. So, talk to us charts, what do you have to say Tuesday evening?
Let’s note those that advanced on light volume: FSM, KGC, RIC, AG, IAG, CDE, EXK, HL, AGI, NGD, SA, ABX, SGDM, RGLD, AU, SLV and SLW.
I find some that rose on about average volume too: AUY, PAAS, GDX and GLD.
There it was! Light volume was the norm. The advance is tentative. It’s saying, show me more. Give me reason to get excited. If it does, the prices will take off, and the volume will increase significantly.
More Wednesday morning… price is up another $2.20 this evening, as I write at 9:00 pm EST. That’s a positive.
And, as of almost 6:30 am EST, gold’s up more than $7 overnight. This may, but not too terribly likely yet, result in some of the miners to breakout, even though the metals themselves haven’t… If that should occur, there would be anticipation of new metals price highs to follow shortly after, and as quickly as within the next week… meaning a possible break through the $1,300 resistance barrier. Let’s see how this goes!
May we accumulate real wealth!
Harold F Crowell