“Gold Miners (GDX) are down hard today and the question is, can it continue? A strong downtrend is extending, with the next major level of support coming from the late 2008 low,” Investors Intelligence technical analyst Tarquin Coe said in a newsletter Wednesday.
“Additionally, further downside is indicated by the large head-and-shoulders top which confirmed in February, projecting a move beneath the 2008 low,” he added.
Full disclosure: Tom Lydon’s clients own GLD.