Best of the Week
Most Popular
1. The Trump Stock Market Trap May Be Triggered - Barry_M_Ferguson
2.Why are Central Banks Buying Gold and Dumping Dollars? - Richard_Mills
3.US China War - Thucydides Trap and gold - Richard_Mills
4.Gold Price Trend Forcast to End September 2019 - Nadeem_Walayat
5.Money Saving Kids Gardening Growing Giant Sunflowers Summer Fun - Anika_Walayat
6.US Dollar Breakdown Begins, Gold Price to Bolt Higher - Jim_Willie_CB
7.INTEL (INTC) Stock Investing to Profit From AI Machine Learning Boom - Nadeem_Walayat
8.Will Google AI Kill Us? Man vs Machine Intelligence - N_Walayat
9.US Prepares for Currency War with China - Richard_Mills
10.Gold Price Epochal Breakout Will Not Be Negated by a Correction - Clive Maund
Last 7 days
How to Play Interest Rates in US Real Estate - 20th Aug 19
Stocks Likely to Breakout Instead of Gold - 20th Aug 19
Top 6 Tips to Attract Followers On SoundCloud - 20th Aug 19
WAYS TO SECURE YOUR FINANCIAL FUTURE - 20th Aug 19
Holiday Nightmares - Your Caravan is Missing! - 20th Aug 19
UK House Building and House Prices Trend Forecast - 20th Aug 19
The Next Stock Market Breakdown And The Setup - 20th Aug 19
5 Ways to Save by Using a Mortgage Broker - 20th Aug 19
Is This Time Different? Predictive Power of the Yield Curve and Gold - 19th Aug 19
New Dawn for the iGaming Industry in the United States - 19th Aug 19
Gold Set to Correct but Internals Remain Bullish - 19th Aug 19
Stock Market Correction Continues - 19th Aug 19
The Number One Gold Stock Of 2019 - 19th Aug 19
The State of the Financial Union - 18th Aug 19
The Nuts and Bolts: Yield Inversion Says Recession is Coming But it May take 24 months - 18th Aug 19
Markets August 19 Turn Date is Tomorrow – Are You Ready? - 18th Aug 19
JOHNSON AND JOHNSON - JNJ for Life Extension Pharma Stocks Investing - 17th Aug 19
Negative Bond Market Yields Tell A Story Of Shifting Economic Stock Market Leadership - 17th Aug 19
Is Stock Market About to Crash? Three Charts That Suggest It’s Possible - 17th Aug 19
It’s Time For Colombia To Dump The Peso - 17th Aug 19
Gold & Silver Stand Strong amid Stock Volatility & Falling Rates - 16th Aug 19
Gold Mining Stocks Q2’19 Fundamentals - 16th Aug 19
Silver, Transports, and Dow Jones Index At Targets – What Direct Next? - 16th Aug 19
When the US Bond Market Bubble Blows Up! - 16th Aug 19
Dark days are closing in on Apple - 16th Aug 19
Precious Metals Gone Wild! Reaching Initial Targets – Now What’s Next - 16th Aug 19
US Government Is Beholden To The Fed; And Vice-Versa - 15th Aug 19
GBP vs USD Forex Pair Swings Into Focus Amid Brexit Chaos - 15th Aug 19
US Negative Interest Rates Go Mainstream - With Some Glaring Omissions - 15th Aug 19
GOLD BULL RUN TREND ANALYSIS - 15th Aug 19
US Stock Market Could Fall 12% to 25% - 15th Aug 19
A Level Exam Results School Live Reaction Shock 2019! - 15th Aug 19
It's Time to Get Serious about Silver - 15th Aug 19
The EagleFX Beginners Guide – Financial Markets - 15th Aug 19
Central Banks Move To Keep The Global Markets Party Rolling – Part III - 14th Aug 19
You Have to Buy Bonds Even When Interest Rates Are Low - 14th Aug 19
Gold Near Term Risk is Increasing - 14th Aug 19
Installment Loans vs Personal Bank Loans - 14th Aug 19
ROCHE - RHHBY Life Extension Pharma Stocks Investing - 14th Aug 19
Gold Bulls Must Love the Hong Kong Protests - 14th Aug 19
Gold, Markets and Invasive Species - 14th Aug 19
Cannabis Stocks With Millennial Appeal - 14th Aug 19
August 19 (Crazy Ivan) Stock Market Event Only A Few Days Away - 13th Aug 19
This is the real move in gold and silver… it’s going to be multiyear - 13th Aug 19
Global Central Banks Kick Can Down The Road Again - 13th Aug 19
US Dollar Finally the Achillles Heel - 13th Aug 19
Financial Success Formula Failure - 13th Aug 19
How to Test Your Car Alternator with a Multimeter - 13th Aug 19
London Under Attack! Victoria Embankment Gardens Statues and Monuments - 13th Aug 19
More Stock Market Weakness Ahead - 12th Aug 19
Global Central Banks Move To Keep The Party Rolling Onward - 12th Aug 19
All Eyes On Copper - 12th Aug 19
History of Yield Curve Inversions and Gold - 12th Aug 19
Precious Metals Soar on Falling Yields, Currency Turmoil - 12th Aug 19
Why GraphQL? The Benefits Explained - 12th Aug 19

Market Oracle FREE Newsletter

The No 1 Gold Stock for 2019

Gold Miners - End of the Bear Market?

Commodities / Gold and Silver Stocks 2014 Apr 30, 2014 - 06:04 PM GMT

By: Trader_MC

Commodities

The analysis of the past twenty years of the Miners Index is showing that an important bottom has been printed in December 2013. The Miners Index’s symmetrical sequence and also the relation between the Miners and the 78.6 Fibonacci Number (both in Price and Time) are validating this major low.


Markets like symmetry and the HUI Index is following an accurate symmetrical sequence. On the following chart you can see that major tops and lows are accurately symmetrical about their centerline (2000 major bottom). The only exception was 1987 top which matched with the low (or the inverted top) in 2014. The next symmetry turn dates are February 23, 2015 and July 10, 2017 which correspond to the periods of 744 and 868 weeks.

Another important criteria to take into consideration is the connection between the Miners Index and the 78.6 Fibonacci Number. The Miners Index is related to the 78.6 Fibonacci Number both in Price and Time.

On the following chart you can see the HUI Index and the 78.6 Fibonacci Price Ratio. Firstly, you can notice that the two up legs of the secular bull market (from 2000 low to 2011 high) have quite the same amplitude (about 488 points) and the two down legs of the bear markets are connected to the 78.6 Fibonacci Number. Secondly, you can also notice that the first down leg (from September 2011 high to May 2012 low) and the second down leg (from September 2012 high to December 2013 low) of the last bear market are connected to the 78.6 Fibonacci Number. Thirdly, the last down leg (from September 2012 high to December 2013 low) and the entire bear market (from 2011 high to 2013 low) are also connected to the 78.6 Fibonacci Ratio.

The Time Duration of the major lows and tops is also connected to the 78.6 Fibonacci number. Firstly, you can notice that the major low in 2001, the top in 2008 and the recent low in 2013 are exactly connected to the 78.6 Fibonacci Ratio. Secondly, the bull market from 2008 low to 2011 high (150 weeks) and the bear market from 2011 high to 2013 low (119 weeks) are also connected to the 78.6 Fibonacci Ratio.

The 78.6 Fibonacci Projection of the bear market from 2011 top indicates July 31, 2014 as an important turning date. It also matches with the Golden Ratio projection in one of my previous articles “Gold Projection by the Golden Ratio” that indicates the first week of August as an important turning point.

A closer view of the Miners Index is showing a One Year Parallel Base Pattern. You can see that HUI prices backtested both the apex of a Triangle Pattern and the neckline of an Inverse Head and Shoulders Pattern. Prices have recently broken out of a Falling Wedge Pattern and I expect higher prices in the coming weeks.

The One Year Parallel Base Pattern has the potential to end these 2 years of bear market. The longer the Base Pattern takes to build, the greater can be the reversal move. The MC Community is still bullish on Miners as all the factors mentioned above are indicating that a decent bottom could be in place for Miners but in this fast moving market it is important to keep an open mind and to adjust to the market conditions. Only a breakout of the Base Pattern will confirm that the bear market has ended.

Trader MC
Company: Cycle Trader MC OU
Web site: http://tradermc.com
Email: contact@tradermc.com

My analysis covers different assets – Market Indexes, such as US, Europe, Emerging Markets, China, Russia etc., Commodities, Currencies (Forex Trading), Bonds and Rates. In addition to the Markets Updates for MC Members, I also post real-time Trading Alerts for MC Leveraged Members for a more aggressive strategy in all the sectors. Besides the market analysis, this site also contains Cycles Count Updates for all Market Assets, including the Forex Market.

© 2014 Copyright Trader MC - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules