Thursday, December 4, 2014
Two major miner charts that look hopeful
Well, the two following charts lend a vaguely hopeful taint to the air:
I!Am!Gold! has already popped above its SMA(50). What, are we not going to fire Steve Letwin now?
If Kinross sucks so bad, why has it popped through its own SMA(50) too?
In both cases, the charts show at least two intraday challenges and failures at the SMA(50).
Hey, I didn't make it up, it's right there in the chart. Sometimes spooky stuff happens.
Maybe in these cases, the turnback at the SMA(50) was just technical sellers saying "the SMA(50) is a good place to sell this stock, because reasons"? If so, I would think the breakthrough is something positive for the stock price in each case. I dunno.
The foregoing is not a recommendation to buy or sell securities. Because gold miners suck.
But for me to remain hopeful in a gold miners position, I want to see if the GDX can close today above $19.92 or so. Cos that's the GDX's SMA(50) and we want to get above that for this to mean anything. So if KGC's share price continues to power upward, and if IAG pops above maybe $2.45, those will lend believability to the idea that gold miners might go up from here.
Now watch some lizard people come along today and puke 5 million magical ounces of pretend gold into the bid.
Fuck I hate gold.