Gold and silver miners ETFs remain in primary bear market
US STOCKS
On July 3rd, 2017
the Transports broke up their March 1st, 2017 primary bull market
closing highs. By doing so it confirmed the S&P 500 (breakout on May 10th)
and the Industrials (breakout on June 1st). Accordingly, the primary
bull market has been reconfirmed, as explained here
GOLD AND SILVER
A primary bear
market signal was flashed on July 7, 2017, as both SLV and GLD violated their
respective secondary reaction closing lows. On July 3 I gave a detailed account
of the technical situation and the impending danger of a primary bear market
signal. You can read my analysis here
Followers of
this Dow Theory blog know that I was skeptical as to the primary bull market
for three reasons:
1. The gold and silver miners ETFs remained
all the time in a primary bear market
2- The primary trend when appraised
using weekly bars was bearish
3. GLD higher highs were unconfirmed
by SLV. Wheras GLD broke up its primary bull market closing highs, SLV failed
miserabily to do so (as explained here), which was ominously bearish
GOLD AND SILVER MINERS EFTs
The secondary trend is bullish
as explained here
As was explained here, SIL and GDX have set up for a primary bull market
signal.
Here you have an updated chart. If the red horizontal lines were jointly violated, the primary bear market would be reconfirmed.
Blue rectangles display the secondary reaction against the primary bear market. The red rectangles display the setup (pullback) for the primary bull market signal |
Sincerely,
The Dow Theorist
thank you
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