Bottom for Gold Miners ETF?

A combination of technical factors argue strongly for a significant near-term and possibly intermediate-term low in the Market Vectors Gold Miners ETF (GDX). One factor is that the distance of the two corrective legs since September 2011 approximated one another at a target window of 40.00- 41.00.

In addition, the price level of 41.75 represented the exact 50% retracement support plateau of the entire prior up-leg from the October 2008 low at 15.83 to the September 2011 high at 66.98.

Another factor is that the GDX reversed on major volume off of 41.10 on Wednesday. Finally, my cycle work on the gold miners points to a 150-day (30-week) low in early- to mid-May.

Among the major components of the GDX are: Barrick Gold Corporation (ABX), Goldcorp Inc. (GG), Silver Wheaton Corp. (SLW), Newmont Mining Corp. (NEM), Randgold Resources Limited (GOLD), and Kinross Gold Corporation (KGC).

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