The quick puff to 2300 price target cut the 3rd daily cycle short to 14 days. The precise rejection from 2300 price level shows market’s unanimous agreement about the price target 2300. 2300 was a cluster price target from many different time cycles. The market was range bound from 12/13/2016 to 01/26/2017. It looked like it was heading
GDX spent nine trading days and it can’t get over 23.63 resistance. Yesterday (Wednesday Jan 18) we thought it could possibly overcome 23.63 to produce a cycle inversion, which would lead to the beginning of a new cycle. But it didn’t happen. We are selling GDX short at open. Stop loss 23.63. Stay tuned. Our short order was filled
Today is the 18th bar in the daily cycle, it should produce a bottom. Instead it made a higher high on the 17th bar. It’s knocking on the door against the 38% retracement at 23.63. If today it takes out 23.63, it will have more room on the upside. Overcoming 23.63 would indicate a beginning of a new daily cycle. Watch out for 23.63 level. Long term it is still very bearish.
