Wednesday, December 12, 2012
You've seen it before - bear flags in the $HUI and GDXJ
Here's the $HUI and GDXJ, with things marked on them in crayon:
The green lines delineate the "bear flags" that you've already become familiar with: it slowly and painfully claws its way up from the -2SD Bollinger band, then just when you think the coast is clear it collapses back down into the pits of despair.
The red arrow indicates my world-weary response: "oh look, it went up to the short EMA and Bollinger mean again. So it'll probably fail again."
Looks like Gary's $HUI 420 is still in the cards, except for it to get there now it'd either have to grind down slowly, or punch through in a vicious selling puke that goes -3SD.
Wouldn't touch GDXJ under $22.50 here, and even if it went over I'd expect a pullback.