With all the focus on gold over the last few weeks, the mining stocks seem to be forgotten.  Don’t do that.  It’s time to pay close attention and evaluate your portfolio. Gold appears to be decisively taking out the topside trendline that goes all the way back to the 2011 high, and the miners are happily following along. There has always been talk about correlations vs. deviations, such as the USD vs. gold, suppositions that mining stocks lead gold or vice versa, etc.  But the markets have changed, and the world is ablaze in unknown monetary territory.  Toss in a bit of geopolitical mayhem and a perfect storm looms.  Making matters worse, paper markets are functioning devoid of fundamentals, with nanosecond algorithmic trading machines.  It would appear that any rules you’ve once known don’t necessarily apply anymore, although in the end, the fundamentals always win.  Paper cannot Rope-a-Dope and fund-a-mental-case forever.  On to the charts.

GDX Top 25 as of August 30, 2017 – VanEck Vectors Major Gold Miners ETF.  Data via Morningstar

GDX Weekly chart as of 12:30 pm EDT, August 31, 2017…

Before taking a look at the GDXJ chart, have a listen to this Future Money Trends interview with David Morgan from June, where he discussed the June 16th GDXJ rebalancing.

GDXJ Top 25 as of August 30, 2017 – VanEck Vectors Junior Gold Miners ETF.  Data via Morningstar

GDXJ Weekly chart as of 12:30pm EDT, August 31, 2017…

$HUI NYSE Arca Gold Bugs Index – Data via NYSE

HUI Weekly chart as of 12:40 pm EDT, August 31, 2017…

Plan Your Trade, Trade Your Plan

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