Calling The Upside In Metals & Miners ETF (XME)
by Mike Paulenoff
February 20, 2022 • 12:00 AM EST
Back on January 10, Mike Paulenoff posted the following bullish chart commentary on XME (SPDR S&P Metals & Mining ETF) for MPTrader members:
"Anyone thinking that over the upcoming 3-5 year time horizon that 1) Oil is heading higher, creating pass-through price pressure... 2) inflation will be problematic... 3) Demand for industrial metals will be intense as the globe goes "green" ... 4) and the demand for these metals will cause shortages that put even more upward pressure on prices... should consider parking some funds in XME."
Mike added, "Technically, the 10-year Weekly Chart setup certainly indicates enormous upside potential as long as XME holds above 39 on any acute bout of selling pressure."
XME was trading at 45.48 at the time. This past week the ETF climbed to a 10-year high at 50.78, nearly 12% above Mike's initial heads-up to MPTrader members.
In the interim 5 weeks, the industrial and precious metals complex has derived buying interest from a "perfect storm" of underlying fundamental factors, such as inflationary data points, a Fed that professes to be shifting into tightening mode while still adding liquidity to the banking system, greatly heightened geopolitical risks emanating from the Russan-Ukraine crisis, and a Canadian political crackdown that US citizens would consider a declaration of Marshal Law that forces individuals to seek the "safety" of real assets in general, precious metals in particular.
XME is benefitting from the fundamental backdrop, which underpins a very powerful, multi-year upside technical breakout that projects considerably higher prices in the months ahead.
Where are the twists and turns ahead for XME?
Join Mike and MPTader members as they discuss and navigate these currently treacherous, but opportunistic markets in Mike's real-time forum. Mike is constantly updating MPTrader throughout every trading day, discussing with members technical setups and fundamentally supportive factors of ETFs, macros indices, individual stocks, cryptocurrencies, and commodities.
Mike Paulenoff is the author of MPTrader.com, a real-time diary of his technical analysis & trade alerts on
ETFs for precious metals, energy, currencies, and an array of equity indices and sectors, including international
markets, plus key ETF component stocks in sectors like technology, mining, and banking.
Sign up for a Free 7-day Trial!
On May 6, 2025, during the final hour of trading, and before AMD was scheduled to report quarterly Earnings that evening, I posted the following analysis to our MPTrader Discussion Room:AMD reports Earnings after the close... The only conviction I can derive from my pattern work is that the 4/08/25 low at 76.48, which represented a 66% correction from the March 2024 high at 227.30, has the right look of a significant low that completed a major bear phase.
On April 22, 2025, I posted the following analysis about my technical setup work in XBI (SPDR SP Biotech ETF):XBI (SPDR SP Biotech ETF)-- Could it be? Could it be that the near-40% correction from the 11/11/24 multi-year high at 105.47 to the 4/09/25 low at 66.66 fully discounted all the bad news in this sector? From a BIG Picture perspective, my attached Daily Chart shows this month's spike low into the vicinity of the previous major corrective low-zone starting in May 2022.
In the early afternoon on April 11, this was my note to our members:"IBIT (iShares Bitcoin Trust ETF)-- From a trading perspective, anyone who is in sync with the Bitcoin setup might consider owning IBIT (iShares Bitcoin ETF) against a stop below its 4/07/25 low at 42.98 (see my attached Daily Chart below)...
Last Thursday (4/17/25) afternoon, ahead of NFLX (Netflix) post-close earnings report and the three-day Good Friday holiday weekend, we discussed the technical setup and whether or not the NFLX pattern was positioned to react positively to the news : The NFLX setup heading into Earnings later today is favorable for upside continuation above the prior two rally highs at 993.45 (4/15) and 998.70 (3/25), but not to a new ATH above 1064.
Last Thursday afternoon (4/10/25), the commentary below is what I discussed with MPTrader members about my Big Picture technical setup work: Tomorrow is the final session of the week. We get some big bank Earnings and PPI before the open, and more than likely, one or more POTUS televised events that undoubtedly will move markets one way or other. Technically, tomorrow's (Friday) close will be important to my Weekly Chart Work.
