Gold vs Gold Miners

Gold attempts to stabilize above its 100-day and 100-week moving averages, while silver shows the first signs of stabilisation in 4 weeks. Meanwhile, the gold miners index, aka Gold Bugs Index – the first gold miners index to be traded in the NYSE—has bounced off its cycle lows last week. This will evoke the classic questions: “Do miners bottom before gold bullion” “Does gold lead the miners?”  Does it matter at all?

Our readers have encountered these questions the last time I discussed the topic 8 weeks ago in the Premium videos. It's about time I gave an update to these important developments shaping bullion and miners with the aim of clarifying my view on gold. Has it bottomed? Is there more downside ahead?  We answer the questions with 2 charts and 7 key points, with implications for our existing gold and silvers trades.

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