GDX, UCO update October 12

GDX: Is still within our preferred b-wave zone. A drop below $19.80 will put or count into question. So far price has reached the 1.618x and 2.00x extensions (green arrows) and is close to the red c=a extension. Although one more stab lower that that c=a extension at $21.90ish can’t be exclude, there are enough waves in place to count the decline as complete.


UCO: Hit our predicted $12 almost to the T 3 days ago (it got to $11.98) and reversed. We continue to look for a b-wave low in the $10 area as that is where there is strong horizontal support (blue line) as well as where the 200d, 50d and 20d SMAs now reside. Note the potential bullish cross of these trendlines.