Gold had a nice day to the upside, but as you the WAR in Ukraine Premium has all been eliminated. And the main driver appears to be the "inflation" story. My own thoughts are that when the Russians end their military excursion there is a real possibility of a sell off in gold. Again, this is just my thoughts.
Silver is lagging behind gold and like gold has given back its war premium.
Now onto something a little more exciting, the Mining Shares of the HUI Index.
Since I last did an update on the HUI some very exciting things have happened. The first thing is that I believe we have left the "consolidation phase" that began back in August of 2020! The second thing, is that for the first time since June of 2019, is that the 100 day moving average is above the 200 day moving average while the 18 day moving average is above both. A very "bullish" development.
Does this mean it is all clear?
In fact, since we are in the early stages of what could be a new "BULL RUN", violent pull backs are to be expected!
The trade LOW came in on September 29, 2021 at 224.28.
Based upon this low the following price levels for the HUI are now in play.
245.21
268.70
280.36
290.84
299.06
312.97
334.96
357.40
370.86
These numbers will have already started to pop off on the HIGH, LOW and CLOSE of the market. These numbers will tend to act as important "targets" for the market.
The reason I emphasize that not all is clear sailing yet is because bulls can be very violent in the early stages and today's close at 314.77 is a long ways from the first target number of 268.70. For example the HUI dropped from its most recent HIGH of 327.03 on March 8th to a LOW of 290.43 on March 14th, something around a 10% swing in 5 sessions.
Anyway these numbers are provided for entertainment and not trading advise.
Peace out and Stack On!
