GDX Vaneck GOLD miners ETF - BUY - 10th November 2021




GDX Vaneck GOLD miners ETF - BUY - 10th November 2021 (Open)


Good morning team,

As you all know we have been bullish on metals for the past few weeks and a breakout on gold and silver looks a high possibility. As we want exposure in the metals market over the longer term we have decided to enter a position on a GOLD ETF. You will need to purchase this asset through your bank or an app like STAKE. This will give you access to the US market. There is a GDX here in Australia which is also an option, however, I prefer the technical structure in the US market. GDX gives investors exposure to a diversified portfolio of companies involved in the gold mining industry.

Stock codes:

NYSEARCA: GDX

ASX:GDX

GOLD – Weekly Charts

Gold looks set for a breakout to the upside, and we will be looking to trade the metal in our FX trading accounts. We are just waiting for a pullback to enter the market.

 

NYSEARCA: GDX – Weekly Chart

The GDX price action has set up a nice rounded bottom, which is also known as a cup & handle structure. There appears to be some nice upside potential here.

 

NYSEARCA: GDX – Daily Chart

The GDX has been in a +1 year-long consolidation phase and the price action has set up an inverted head and shoulders structure which tends to occur at the bottom of a trend. We can see a clear 5 wave impulsive move on the left-hand side followed by a long correction phase in three legs, ABC. These are bullish technical formations.

Trade Setup: BUY 10 units at 33.32. 

If you are purchasing the US ETF you will need to wait until later this evening to enter the position, or you can set a BUY stop/BUY limit up to activate at a certain price.

Trade Setup
BUY - Market Execution

Entry
33.32

Take Profit
OPEN

Stop Loss
OPEN