The S & P 500 (SPX) Drives Computer Programmed Index Fund Trading
The S & P 500 (SPX) drives computerized/programmed index fund trading. Note how SPX bottomed on Tuesday a few hours before HUI, and, it peaked late yesterday a few hours before HUI, which peaked early today,
see http://finance.yahoo.com/q/ta?t=5d&s=%5EHUI&l=off&z=l&q=b&a=m26-12-9&a=p12&a=fs&a=w14&c=&c=%5EGSPC.
Wave A of the likely vicious 3-6 week 30-45%+ decline may have started today for HUI and the XAU. Please see this previous post for many details regarding the likely vicious 3-6 week 30-40%+ HUI/XAU decline: http://tradethecycles.blogspot.com/2006/11/what-will-cause-dramatic-huixau-decline.html.
HUI/NEM/XAU should be about to fall off a cliff the next few sessions, which will be Wave A down of the likely 3-6 weekish vicious decline for HUI/XAU. Since 10-4-06 HUI/XAU have rallied toward their Wave 2 Cyclical Bear Market (began 5-11-06) downtrend lines, and, may have entered Wave C of Wave C (Wave C is probably doing an Elliot Wave ABC down up down pattern), in which HUI/XAU may experience a vicious 3-6 weekish 30-40% decline that should mark the end of their Wave 2 Cyclical Bear Market (began 5-11-06). They should decline to or at least approach their Secular Bull Market/very long term upcycle trendlines at 200ish for HUI (the trendline could turn up to 220ish since HUI is more parabolic/volatile than the XAU) and at 90ish for the XAU, see charts 3 and 5 at http://www.joefrocks.com/GoldStockCharts.html.
HUI/XAU's Wave 2 Cyclical Bear Market began 5-11-06, see charts 3 and 5 at http://www.joefrocks.com/GoldStockCharts.html. NEM's Wave 2 Cyclical Bear Market that began on 1-31-06 ended on 10-4-06 at 39.84, so, reliable lead indicator NEM is probably in a 5 yearish Wave 3 Cyclical Bull Market since 10-4-06, see chart 4 at http://www.joefrocks.com/GoldStockCharts.html. ....... http://www.JoeFRocks.com/ .
HUI NEM XAU
see http://finance.yahoo.com/q/ta?t=5d&s=%5EHUI&l=off&z=l&q=b&a=m26-12-9&a=p12&a=fs&a=w14&c=&c=%5EGSPC.
Wave A of the likely vicious 3-6 week 30-45%+ decline may have started today for HUI and the XAU. Please see this previous post for many details regarding the likely vicious 3-6 week 30-40%+ HUI/XAU decline: http://tradethecycles.blogspot.com/2006/11/what-will-cause-dramatic-huixau-decline.html.
HUI/NEM/XAU should be about to fall off a cliff the next few sessions, which will be Wave A down of the likely 3-6 weekish vicious decline for HUI/XAU. Since 10-4-06 HUI/XAU have rallied toward their Wave 2 Cyclical Bear Market (began 5-11-06) downtrend lines, and, may have entered Wave C of Wave C (Wave C is probably doing an Elliot Wave ABC down up down pattern), in which HUI/XAU may experience a vicious 3-6 weekish 30-40% decline that should mark the end of their Wave 2 Cyclical Bear Market (began 5-11-06). They should decline to or at least approach their Secular Bull Market/very long term upcycle trendlines at 200ish for HUI (the trendline could turn up to 220ish since HUI is more parabolic/volatile than the XAU) and at 90ish for the XAU, see charts 3 and 5 at http://www.joefrocks.com/GoldStockCharts.html.
HUI/XAU's Wave 2 Cyclical Bear Market began 5-11-06, see charts 3 and 5 at http://www.joefrocks.com/GoldStockCharts.html. NEM's Wave 2 Cyclical Bear Market that began on 1-31-06 ended on 10-4-06 at 39.84, so, reliable lead indicator NEM is probably in a 5 yearish Wave 3 Cyclical Bull Market since 10-4-06, see chart 4 at http://www.joefrocks.com/GoldStockCharts.html. ....... http://www.JoeFRocks.com/ .
HUI NEM XAU
Labels: Gold, Gold Stocks, HUI, NEM, Silver, Silver Stocks, SPX, XAU
posted by Joe Ferrazzano at
11:21 AM
