It is a day of high stress in the metals and mining markets. The miners and Silver are threatening a breakup: the next 48 hours are critical.
-GDX (11:35 AM) – The current gap in miners (GDX) is critical. If the gap remains open (prices remain above $ 39.33), then I see the possibility of a higher increase. If today’s gap fails (a daily bottom below $ 39.33), then prices likely peaked.
Silver futures are above $ 20.00, and prices could explode. The next few days are critical. If silver continues to explode higher up to $ 21.00, then it could hit $ 25.00 + quickly. A collapse and a bearish reversal in the next 48 hours would imply a “breakout-breakout.”
Gold Futures tested $ 1820, and prices stalled a bit. They must exceed $ 1825 in the next 48 hours to maintain the bullish momentum.
Falling back below $ 1800 would sponsor an intermediate cap and the start of a 1-3 month correction towards $ 1550.
AG Thorson is a registered CMT and expert in technical analysis. He believes that we are in the final stages of a global debt supercycle. For more information, please visit here.
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