Chart of the Day - Tuesday, July 9th, 2019
Today’s chart of the day was shared in a blog post from Chris Kimble (@KimbleCharting). It's a weekly candlestick chart of Gold Miners ETF, $GDX. Chris notes that $GDX is testing an important resistance level, around $25.60-25.75. This level coincides with the 61.8% Fibonacci retracement of the 2016-2018 decline. As you can see, $GDX visited this level three times in the past few years, only to be smacked down each time. Resistance levels are similar to a wall getting hit with a sledgehammer, where every time you hit it, it gets weaker and weaker. Will the fourth time be the charm for Gold Miners? Chris calls this " its most important breakout test in the past 3-years" We'll be sure to keep an eye on this one.