Just a quick note as things are moving quite fast in the PMs.

The GDXJ moved sharply higher after the session started, and at the moment of writing these words, it moved to the upper border of the previous, early-May price gap. Please note that it was my original target for the previous long positions, and it was just reached.

It doesn’t change the outlook here. When we took profits from the long positions and re-entered short ones, I wrote that we are doing so, not because it was clear that the top was in, but because the risk to reward ratio changed dramatically. And that was indeed case. The fact that juniors rallied today doesn’t change it. In my view it was a good decision to switch the positions then based on the data that we had at that time.

Anyway, the medium-term trend remains down, and it seems that we’ll see another – very powerful – downswing shortly.

As always, we’ll keep you - our subscribers - informed.

Thank you.

Sincerely,
Przemyslaw Radomski, CFA
Founder, Editor-in-chief