....................NEM/XAU Gap Filling Action
NEM and the XAU have downside gaps created at yesterday's open at 50.69 and 141.14 that should get filled today or tomorrow, but, the XAU has an upside gap from today's open at 143.24 that will probably get filled, so, shortly after that happens, weakness should resume. I don't discuss HUI gaps because they tend to be smaller and less frequent than those of NEM/XAU, and, it's easier to track two.
The monthly downcycle began on 8-9 for HUI/NEM/XAU when HUI put in a near perfect bearish double top at 348.84 versus 348.74 a week prior (8-2).
I expect Wave A down of the Wave 2 Cyclical Bear Market (since 5-11-06 for HUI/XAU and since 1-31-06 for reliable lead indicator NEM) to bottom in the 100-110 range (XAU) in the next few weeks. The prior eight weeks the NEM Lead Indicator was a very bearish -8.18% vs the XAU, and, so far this week it's -2.09% vs the XAU, for a total of -10.27% vs the XAU the past eight weeks and three days. For recent action see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=b&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=. ....... http://www.JoeFRocks.com/
The monthly downcycle began on 8-9 for HUI/NEM/XAU when HUI put in a near perfect bearish double top at 348.84 versus 348.74 a week prior (8-2).
I expect Wave A down of the Wave 2 Cyclical Bear Market (since 5-11-06 for HUI/XAU and since 1-31-06 for reliable lead indicator NEM) to bottom in the 100-110 range (XAU) in the next few weeks. The prior eight weeks the NEM Lead Indicator was a very bearish -8.18% vs the XAU, and, so far this week it's -2.09% vs the XAU, for a total of -10.27% vs the XAU the past eight weeks and three days. For recent action see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=b&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=. ....... http://www.JoeFRocks.com/
posted by Joe Ferrazzano at
7:06 AM
