Mike's Mid Day Minute is available to members on Monday, Wednesday & Friday evenings, with one article per week available to non-members. Members please login and see "Mike's Mid Day Minute" in the navigation menu towards the top of the page.

Miners Exhibit Improving Relative Strength and Participating in an Upmove in the Major Market Indices (for a Change)


Yesterday's headline news from Caterpillar Inc. (CAT), and from Fed Chair Yellen, could have cratered the miners, but bids emerged into weakness in both instances, which represents a positive profile change from time's past.

That said, despite near-term relative strength, the Direxion Daily Gold Miners Bull 3X ETF (NUGT) must hurdle key resistance along the Aug-Sept resistance line, now in the vicinity of 3.30, which, if accomplished, should trigger upside continuation that confronts more important resistance lodged between 3.50 and 3.70.

The 4-week price action has taken the form of a potentially powerful near-term base formation that is putting increasing upward pressure on the resistance levels sighted above.

Only a sharp reversal and break of the Sept 22 low at 2.71 will compromise the developing constructive set up.

  • Action-Oriented Trade Set-Ups in Stocks & ETFs
  • Macro Analysis of the Broader Markets
  • Detailed Technical Guidance for each Trading Idea
  • Live Interaction w/ Mike & Our Member Community
  • And Much, Much More!
Join Now! - Special Offer!
Veteran Wall Street analyst and financial author, Mike provides detailed and timely analysis and trade set-ups on a range of markets. Read more...

Have Mike's “Out Front” morning analysis delivered FREE to your email inbox twice weekly!