Just a quick note – if you managed to ignore the overwhelming bullish narrative, just as we suggested in the analyses – congratulations!

While the entire recent rally was not YET invalidated, the breakout in the GDX ETF above the declining black resistance line (that you can see on the chart in today’s regular Gold & Silver Trading Alert) was just invalidated.

The GDX price jumped back up, but this looks like an intraday technical bounce, nothing more.

The above is particularly bearish in light of what I already wrote about in today’s regular Gold & Silver Trading Alert: gold’s weekly triangle-vertex-based reversal, and huge-volume-based indications from GLD and GDX. Both were likely to reverse rather sooner than later, and it seems that the turnaround is already behind us.

If it’s not, then it’s unlikely that the really would continue. Instead, we could still see another attempt to move back to the previous highs, similarly to what we saw in mid-November 2021. However, given the recent “attack schedule” provided by the U.S. (tomorrow), which is very likely not to be realized, it seems that any additional rally would be very short-lived.

Either way, it seems that this week marks the turnaround, and whatever happens within the next 1-2 days will be the beginning of a much bigger decline.

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

Thank you.

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