GDX Update

Here is the backlink and it seems the blue model was taken almost exactly so far.  If I'm right about this, this double bottom will lead to much higher highs for GDX, GDXJ and JNUG.  I see USO bottoming soon and the dollar at a peak right now.  So again, at least the early portion of Q1 of 2015 should be great for commodities.

Up until now I have been modeling the early Nov low as 5 and then the spike into late Nov as wave 1 with the recent deep vee as wave 2.  This is the conventional wisdom count and for now it is fine to stick with it.  But based primarily on my W3 indicator I will be wondering if the coming move up is really wave 3 or just C of 4.  C of 4 would imply a lower low into 5 down and it would enable a shot at Avi's GLD $105 ish target.  The other factor that makes me like this count is that several days of sideways chop in the build up to green a.  That easily counts as an a-b-c.  If the wave that is forming right now cannot make it above about $19.80 then I can also begin to suspect that a HT is forming here which will eventually break to lower lows.

For right now, I like JNUG unless it falls below the corresponding green B on its chart (which is still completely messed up in TDAmeritrade StrategyDesk to the degree that it is useless here).