Rather than speculate on whether this vehicle will push above mid-April’s 44.70 peak, I’ve drawn a chart that you can use to trade it knowledgeably. Friday’s weakness triggered a theoretical sell signal with downside potential to as low as d=41.47. However, the pattern can be used to bottom-fish at any of the three levels yet to be achieved: p=42.92, p2=42.24 and d. In each case, you should get long with a reverse-pattern trigger that comes from the lesser intraday charts. There’s a possibility the downtrend will turn from p=42.92 and go on to surpass the 44.26 high. That’s why some call options acquired at p should be held for a possible swing for the fence.
GDXJ – Junior Gold Miner ETF (Last:43.44)