GDX opened a few pennies higher this morning and has swung up and down since. It is consolidating for another move in one direction or the other. HUI closed above the old low yesterday, but just barely, and has swung below it a few times today. There is no buying or selling pressure right now so volume is decreasing. Everyone seems to be waiting and making their bets on the direction it will go next.
If it is going to go up again from here I should get a buy signal flag sometime in the next four days somewhere between 50 and 52. It could drop to a new low and then recover and give a buy signal near the low end of the range or shoot up for a day or two before making a flag down to the low of seven days ago, at the upper end of the range.
In spite of the big megaphone pattern on the charts, I have no opinion as to which way GDX will break. The fundamental situation, with the US essentially bankrupt and the fed increasing the money supply like crazy argue for it to go up, but there is a perception taking hold the the worst has passed and that could send it down. I will just wait and buy when a signal occurs.
QQQ is definitely being driven by the idea that things are getting better along with the liquidity injected by the Fed. QQQ is higher again today with it new MACD buy signal. I won't touch it without a pull back to the trend.
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