Friday we published a 24 page update on the gold stocks which included our updated model portfolio, coverage of GDX, GDXJ and near-term resistance targets for Gold, and GDX. We also produced charts of our proprietary large producers index. This is a cap-weighted index of 13 of the best gold producers such as Gold Corp, Newcrest, Yamana, Rangold, New Gold, etc. Below we show the weekly charts.
The first chart shows the long-term trendline and markets the depth of the various corrections and cyclical bears.
The 2011-2012 bear market, which lasted about 18 months and from top to bottom lost 43%, appears to be a retest of the breakout past the 2008 high.