When I look at the 3 charts that I follow in the metals complex, they seem to be telling a different story today, at least in their micro structures.
Silver seems to have broken out of its downtrend, and can be viewed as having completed wave i of its (c) wave to the target box above. GLD seems to be stuck in neutral, with the same “potential” structure as silver, but without as much clarity to its micro count as silver has potentially presented.
And, then we are left with the GDX. As long as the GDX remains below the 23.05 level, it still has a smaller degree set up to test the 22 region before a rally may ensue.
So, on Friday (Nov 3), GDX has now dropped down and provided us the lower low I was looking for this past week right into the support region I noted last weekend between 21.95-22.30. Moreover, both gold and silver have now pulled back from their rallies begun this past week, and have still retained a set up to rally in the upcoming week.
Based upon the smaller degree wave counts, it certainly still seems as though the miners and the metals are potentially in different patterns, with the upcoming week set up to provide us further confirmation of this potential.
As I have noted for the last several weeks, silver really seems to be the more telling of the metals charts. I have been following a potential count which suggests that a (c) wave rally within a b-wave of wave ii is taking shape. And, I have noted that as long as we hold over the 16.40-16.50 support region, we can rally back up towards the September highs.