According to Chris Kimble at Kimble Charting Solutions, the price ratio of gold versus gold stocks recently hit the lowest level in 30 years and was a fraction below the 2008 lows.
Market Vectors Gold Miners (GDX) on Friday rose above its 50-day simple moving average for the first time since early March.
Earlier this week, Tom Lydon discussed gold miner ETFs on Chuck Jaffe’s MoneyLife Show. He said valuations and profit margins are very attractive in this beaten-down sector. [ETF of the Week: Gold Miners]
Market Vectors Gold Miners
Full disclosure: Tom Lydon’s clients own GLD.