MID-DAY MINUTE BY MIKE PAULENOFF: By Mike Paulenoff,
www.MPTrader.comWith gold prices up sharply this morning, let's
have a look at the relative strength relationship between the Gold
Miners ETF (GDX) and the S&P 500 Cash Index ETF (SPY). My
pattern and ROC (rate of change) analysis of the relationship
between the GDX and the SPY indicates strongly that the GDX has
completed a corrective period versus the SPY and has turned up into
an approaching period of relative outperformance. In a rising price
scenario, the GDX should climb faster and more powerfully than the
SPY, while in a weak overall market the GDX either will climb or
hold up considerably better than the overall market. Newmont Mining
(NEM) and Barrick Gold (ABX), with earnings this week, are the two
leading components of the GDX
Paulenoff Mid-Day
Posted by Peridot on 16th of Feb 2010 at 12:45 pm
MID-DAY MINUTE BY MIKE PAULENOFF:
By Mike Paulenoff, www.MPTrader.comWith gold prices up sharply this morning, let's have a look at the relative strength relationship between the Gold Miners ETF (GDX) and the S&P 500 Cash Index ETF (SPY). My pattern and ROC (rate of change) analysis of the relationship between the GDX and the SPY indicates strongly that the GDX has completed a corrective period versus the SPY and has turned up into an approaching period of relative outperformance. In a rising price scenario, the GDX should climb faster and more powerfully than the SPY, while in a weak overall market the GDX either will climb or hold up considerably better than the overall market. Newmont Mining (NEM) and Barrick Gold (ABX), with earnings this week, are the two leading components of the GDX
Keep in mind NEM is
Posted by asantana on 16th of Feb 2010 at 12:49 pm
Keep in mind NEM is on the watchlist and they are reporting.