Courtesy of Chris Kimble.
Gold miners have had a great run this year. They could be losing grip on key support of late!
Below looks at the Gold & Silver mining index (XAU) over the past decade.
CLICK ON CHART TO ENLARGE
I like to keep an eye on the XAU index because it is the oldest mining index in the states and it includes both Gold & Silver mining stocks.
The index has had a great rally this, taking it to its 61% Fibonacci retracement ratio and falling resistance, where it appears to have pulled a reversal pattern.
Of late the, the XAU index is attempting to break support of a rising wedge pattern, just below this key retracement level. This small break could be important as weekly momentum is now at the highest level in more than a couple of decades.
The XAU index just had its largest 52-week rally in its history (See Post Here)
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