rjchilia123

Fundamentals improving - Prices falling anyway = Opportunity

AMEX:GDX   VanEck Gold Miners ETF
In the short run price action/trend is bearish. We have broken bullish reversed it all and broken below key support. Oil fell through the floor which is good news for Gold Miners because it significantly lowers their cost to mine, oil is way cheaper than in 2016 when GDX peaked at $31 an ounce, simultaneously gold is up around $200 an ounce from 2016 highs. Oil falling = lower cost + Gold rising = higher revenue = bigger net income, dividends and good news for miners. With that being said GDX is falling which is great for us because we understand what the central banks are doing and that Gold/Silver are going through the ceiling. Remember in 2008 GDX fell from $56 to $17 then rose from $17 to $67 that was near the end of the 13 year Gold bull market. But now we are only 4 years in to the Gold bull market up as much as 70% since $1000. All problems in 08 are bigger now.
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