The Metals are Shining! $GLD $SLV $GDX – April 4, 2023
GDX GLD GDXJ SLV
This is Scott with your Chart of the Day. I want to follow up on Gold. A couple of days ago, I think it was around March 30th, we talked about GLD ( NYSEARCA: GLD ). And I mentioned how I really liked the longer-term timeframe, the monthly timeframe. How we have this huge cup and handle pattern on the monthly, and I want to see a breakthrough of that 194.50 level.
Well, we did get about $3.40 closer this week to this level, you can see that here from this move. We had a strong move, a strong follow-through and it broke above some highs from back here in April, March, and February of 2022. And so gold is, in my opinion, an area that you should be paying attention to. We even have the volume to confirm this move.
It is a tad extended here on the daily chart, you typically want to get involved with stocks close to some key moving averages because then, at least, you have some levels you can define your risk off of. It is a bit extended now, but I wouldn’t lose sight of this. And I wouldn’t lose sight of the miners as well, like GDX ( NYSEARCA: GDX ) and GDXJ ( NYSEARCA: GDXJ ).
These are looking really good, and you can see that they are coming into some key levels that at one point were support and now are resistance. So this is a very pivotal moment for gold and the Gold Miners ( NYSEARCA: GDX ). And we definitely want to pay attention to see if this can follow through and bring us back to some of these 2022 highs on GDX ( NYSEARCA: GDX ).
Now, there are a lot of different ways to play gold. There is GLD ( NYSEARCA: GLD ), and there is GDX ( NYSEARCA: GDX ). And it is not just about Gold, you can take a look at Silver as well. SLV ( NYSEARCA: SLV ) is reaching above and making a new high on the year. So the metals are certainly an area you want to pay attention to, and that is what we are doing.
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