GDX update 8/10/2015: long term bottom appears to be in.

We’ve been tracking the goldminers diligently over the past months and since in trading being patient is the hardest part, it appears to be paying off as a bottom seems in place. Namely, we have a nice minute c=1.382x a extension hit, as well as the major c=1.50x a. I like it. Although minor c could subdivide the length of minute c in price and time is sufficient long and deep.  CONTINUED BELOW CHART

GDX update 8102015Question now is if the whole correction is over (LOW?) or if it was only primary A, followed by B up? In the former case we can expect new ATHs over the years (!!!) to come: >$70, in the latter case we can expect a ~50% retrace, IMHO, which targets $40. This level coincides with the yellow (major) a price level. Still a whopping 285% higher than current levels (!). So my advice is to remain patient and see how the next few weeks develop and buy a decent retrace. The decline from the TOP took almost 4 years, so I expect even a retrace to $40s also to take a few years. In the case of a cycle 2 low, then the rise to new ATHs will take many, many years. So see this as a long term investment regardless what type of wave will develop.

GDX update 8102015b

 

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