GDX: CANDLES SPEAK: 24.03.2021

First I would like to refer to yesterday’s forecast:
“Tomorrow I am expecting a continuation of today’s action. If the move is strong enough, there is a chance of making a daily 8/20 EMA cross. It would align all daily MA/EMA in the most bearish way: 8 below 20 below 50 below 100 below 200.”

Today GDX followed the forecast with the precision and made a 8/20 bearish EMA cross in the last minutes of trading.

Forecast

  1. GDX is positioned for further decline.
  2. In order to confirm the decline on a weekly basis, it can close the week at the current or even a bit higher level. The weekly candle should close below the weekly 8 EMA line.
  3. For confirming a continued downtrend on the monthly scale, the month should close below 31.13, better below 30.90.
  4. If the monthly candle confirms the trend, it would open the door for the possible target of 13-16 in the next several months.
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