Commodities Analysis and Opinion
Keep Calm And Stay On The Short Side Of Junior Miners
2022.06.07 13:46
A price jump on a given day doesn’t mean you should give up your short position. Let’s look at the context by examining what happened in the junior mining stocks.
GDXJ 240-Minute Chart
In Friday’s Gold & Silver Trading Alert, I commented on Thursday’s (June 2) rally in the following way:
Friday’s decline confirms the above. While the GDXJ closed above the upper border of the previous price gap on Thursday, it closed back below it on Friday, thus invalidating the small breakout. This is a bearish sign, especially in light of what I wrote above. The top might be already in.
Remember, the strong medium-term downtrend remains intact.
