GDX Gold Miners Weekly Chart H&S Patterns

The blue line H&S pattern was in play three weeks ago after the neckline broke at 53-54 and came up for the back kiss, but, instead of a back kiss and rejection, price reclaimed the neck line and now moves higher. Thus, watch for a new right shoulder to form now, this produces a new red line H&S pattern with a neck line at 51-52. The red H&S targets the 40-41 area.

Note as price moves up there is a gap at 62 that would like to be filled. Note the many gaps below but of interest is how the move up was tight form 30 to 48 which hints that a 40-48 floor in GDX may currently exist. The vertical dark green circles highlight all the high volume days, all of which are below current pricing. Watch the 20 and 50 MA cross since if the 20 falls under the 50, that will confirm a move to testing the necklines again. Projection is for a right shoulder to form now, perhaps a gap fill for 62, then down from there for the weeks and months ahead ultimately targeting the H&S zones at 40-44. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your financial advisor before making any investment decision.