UPDATE 7/25/2016 11:31AM


There is further weakness in Gold, Silver, and Miners today revealing why they were unable to confirm lows last Friday. I expect the $1,300 level in gold to hold this week. Consecutive closes below $1,300 would suggest my cycle count is off, and I will need to adjust. I give that scenario low odds at this point.

I think the dollar will top on Wednesday after the Fed announcement. Metals and Miners will likely bottom between then and now. The lows will be confirmed once prices close above their respective 10-day EMA’s. Again, I will update if/when that happens.

-GDX- I didn’t want to see prices close below the gap that opened at $27.70, but that could happen today. Support at the 50-day EMA is likely where prices will bottom. The 50-day EMA should hold this week. Two closes below the 50-day will cause me to reevaluate.

-GDXJ- Common low #2 may drop to the 50-day EMA before bottoming.

Prices didn’t confirm lows last week and are now dropping a bit further. They should make a good bottoms by Wednesday. Gold should stay (closing prices) above $1,300, and silver should remain above $19.00. Miners may test their respective 50-day EMA’s before finding bottom.

I will send out often updates this week if necessary. The dollar is running long into the current cycle and should top this week. Metals and miners will find it easier to rally after the dollar tops.