HUI daily

Forrest threw off all the hardware and ran as fast as he could, only to trip and fall late in the day.  I suppose you could say that the evil cabal moved in and did its handy work.  Or more likely, a technical pattern like a bullish Symmetrical Triangle is worth waiting and working for and would logically find resistance at the top line.

All I can tell you is that in breaking above the 50 day moving averages, HUI has activated the Sym-Tri, which was first ID'd in last weekend's letter.  Here is the chart from #128, which was produced while Huey was still below the moving averages.  MACD has triggered, RSI has broken through resistance and now we await confirmation of a breakout or possibly, additional downside threats.  The trend is up however, in all time frames.

HUI sits in a much better position now than it did last weekend, but these are the markets, and technical patterns can fail.  So, the newsletter that does not play the 'lather 'em up' game will manage all potentials.  Most important will be the sector fundamentals.  Here I am not talking about Bernanke, or the US Treasury or global macro inflation regime, I am talking about the only thing that really matters to gold miners; gold's real price.  If the metrics continue to hold, I remain bullish and await the potentials of the Sym-Tri and beyond.  If not, gold stocks could be deemphasized, even as the world pursues its inflationary destiny.

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