Cart (0)
VIDEOMV Mailbag: GDX Looking Like Solid Gold
Miners mean more beta.
 |
|
I don't see any reason to buy the Goldminers ETF (GDX). What were you looking at on that
trade?
Thanks,
Minyan Jim
Dear Minyan Jim,
The GDX offers more beta than the Gold ETF (GLD) typically does.
But here's a chart of GLD from my morning report, which shows some of my thinking.
GLD has undercut its 50-DMA, and has marginally undercut last week's low. It may therefore trace out a "Soup Nazi" buy pattern, stabbing back up through that low.In addition, the GLD may be tracing out a cup-and-handle pattern. Fundamentally, gold may move in advance of the Federal Reserve's meeting this week, at which they will discuss their latest salvo in the war on deflation.
Sincerely,
Professor Cooper
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
