Try This Golden Opportunity in GDX

Gold has been strong this year, but until something breaks with equities, I can't see the demand for shares in the metal or the corresponding miners to continue. On the plus side, I believe the downside is limited. On the negative side, I think those limits encompass a retracement of the 2017 gains.

Examining the longer-term picture of the VanEck Vectors Gold Miners ETF  (GDX) via the weekly chart, below, I see several yellow flags and a few white ones, as well. First, the caution flags. Price is testing the 13-week simple moving average (SMA) early in the week. We've seen shares struggle below this level, and currently we are trading at this level. Any additional weakness this week will put us under the 13-week SMA. The Chandelier Exit aligns with the 13-week SMA and has been another sell trigger over the past two years. Both of these are concerning....250 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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