NUGT Gold Miners Bull 3X ETF Weekly Chart Falling Wedge Oversold Positive Divergence Potential Inverted H&S

The release of the FOMC Minutes resulted in an over $30 drop in gold and the gold miners were taken out back as well. Both were further beaten during the afternoon. The gold miners are one of the few areas of interest for the long side. They have been beaten down a long time and the charts are setting up with positive divergence across the weekly and daily time frames consistent with price basing. This technical analysis can be adopted for GDX, GDXJ and the miners in general since the charts are all the same.

The blue lines show a potential inverted H&S with head now being printed at 35, and neck line at 55-ish, targeting 75-ish as the weeks play out. The short red lines show some leakage in money flow and RSI but this should rectify with positive divergence in the coming days or week or two. NUGT is the dangerous triple X crack ho gold miner bull ETF so it is very speculative. Individual miner names may be more reasonable picks for folks with a low risk tolerance. Projection is for price to base and the direction is sideways to sideways up for miners moving forward. If the general market sells off as is anticipated moving forward, the miners may be one of the few places that hold up better than the broad market. Keystone opened a long trade on NUGT over the last 2 days, receiving a slap in the face from the FOMC Minutes, but that red mark should recover. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.