After setting a new multi-year low yesterday, $12.40, and closing down 61 cents at $12.47, the Market Vectors Gold Miners ETF (GDX) is showing up 31 cents (2.49%) in premarket action.
The junior miner ETF (GDXJ) also set a multi-year low at $17.06 and is in full-blown collapse mode:
From Cycle Trading, Jan. 19:
Miner Break Down
The Miners broke below the lower stem of the triangle in a clear and convincing manner today.
Tuesday was day 20 for the daily Miner cycle. The Miners already broke below the previous daily cycle low on Thursday to form a failed daily cycle, which indicates that the intermediate cycle is in decline. Today the Miners broke below the September low, which forms a failed intermediate cycle.
The Miners were unable to close above the upper weekly cycle band during this intermediate cycle to confirm a new yearly cycle. Therefore by breaking below the September low, the Miners remain in a yearly cycle decline.
