HUI gold stocks index higher but showing signs of selling pressure

Take a look at the following chart and you will see what I am referring to. The mining shares gapped up today on the opening trying to catch up a bit with the overnight surge in gold and in silver but after that, most of them went nowhere. That is not a bullish sign for continuing their move higher. They did attract some dip buying later in the session but the shares are reflecting a lack of confidence that the rally in the metals is going to continue tomorrow. We will see whether or not they are prescient.

Author: Trader Dan, specialized in commodities (gold, silver, ea)

Receive these articles per e-mail

Subscribe for the free weekly newsletter and receive 3 papers about physical precious metals investing