Chart of the Day - Friday, April 16th, 2021

Today’s Chart of the Day was shared by Shane Murphy (@MurphyCharts). It's a weekly candlestick chart of the Gold Mining ETF, $GDX. About a month ago, Shane pointed out that Gold Miners were testing a crucial level around $31. In textbook fashion, former resistance acted as support and price has continued to work higher recently. In a comment to The Chart Report, Shane said, "Gold Miners reversed exactly where you'd expect them to. Buyers and sellers have made it clear that $31 is a level of interest. It acted as resistance four times over the past few years and then support early on in the 2020 breakout. Also, price broke out of an eight-month downtrend this week. As long as we're above $31, I think we could go on to test the August highs around $45 which is about 25% higher from here."