All The Junior Miners Are Trending Lower TodayThe Stocks I follow
KL
IAG
WDO
KLDX
Gold:CA
AG
NEM
are all down today. Gold making new highs and miners not doing well. I think after Sept run up and a collapse to 1,240 in Gold price and the new run up that there is very little interest in the miners so far. I am willing to bet that a bunch of money comes into the miners once we break the Brexit high and $1,400 an oz. I also believe the algos switch the second we breach those levels and they take the markets higher quickly. Algos are just programs written by humans to look for clearing the same resistance points we do.
Give the rise in the gold price, I cant think of a better space to place an arbitrage bet on the side of junior miners who are producing in safe jurisdictions. I read that GDX and GDXJ are almost 50% undervalued compared to the last move that we had given the gold price. The fact that it seems like very few have participated in gold outside the futures market leads me to believe that this gold price rally has much farther to go.