NEM Outperformed The XAU By A Very Bullish +1.04% Today
Which strongly suggests that HUI and the XAU have more upside, though probably not much. Index funds were major contributors to the recent strength, just as they were major contributors to yesterday's weakness:
http://finance.yahoo.com/q/ta?t=5d&s=%5EXAU&l=off&z=l&q=b&a=m26-12-9&a=p12&a=fs&a=w14&c=%5Ehui%2C+NEM&c=%5EGSPC
This monthly upcycle peaking in rollover mode thanks partly/maybe largely due to index fund buying is exactly what happened in the prior monthly upcycle as I said before.
Notice how NEM led to the upside today which was probably due to index funds buying NEM:
http://finance.yahoo.com/q/ta?s=^XAU&t=1d&l=on&z=m&q=l&p=&a=&c=^hui,nem
SPX's monthly downcycle since 12-14 should soon turn sharply lower, which should end the gold/silver stock monthly upcycle very soon due to index funds selling their gold/silver stocks. SPX fell a few points at session's end which points to weakness/a downtrend early tomorrow for gold/silver stocks that could come after a gap up. It doesn't take much movement in SPX (S & P 500) to move gold/silver stocks because index funds are an enormous market. Ciao.
http://finance.yahoo.com/q/ta?t=5d&s=%5EXAU&l=off&z=l&q=b&a=m26-12-9&a=p12&a=fs&a=w14&c=%5Ehui%2C+NEM&c=%5EGSPC
This monthly upcycle peaking in rollover mode thanks partly/maybe largely due to index fund buying is exactly what happened in the prior monthly upcycle as I said before.
Notice how NEM led to the upside today which was probably due to index funds buying NEM:
http://finance.yahoo.com/q/ta?s=^XAU&t=1d&l=on&z=m&q=l&p=&a=&c=^hui,nem
SPX's monthly downcycle since 12-14 should soon turn sharply lower, which should end the gold/silver stock monthly upcycle very soon due to index funds selling their gold/silver stocks. SPX fell a few points at session's end which points to weakness/a downtrend early tomorrow for gold/silver stocks that could come after a gap up. It doesn't take much movement in SPX (S & P 500) to move gold/silver stocks because index funds are an enormous market. Ciao.
posted by Joe Ferrazzano at
1:07 PM
1 Comments:
Hi Tom. Good point, but I think if SPX had been down today then things would have been much different for gold/silver stocks. However, SPX may be benefitting some from window dressing, especially since it's year end. Index fund trading is a huge factor.
By
Joe Ferrazzano, at 12:04 AM
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