Still, there are reasons for concern, not the least of which is the volatile ride GDX and GDXJ promise to treat investors assuming the ETFs can even rally. GDXJ has a three-year standard deviation of almost 44% while GDX’s is 32.5%. By comparison, the three-year standard deviation on the S&P 500 is less than 10%.
Additionally, the TSX Venture Index’s 2011 high was lower than its 2002 high. Lower highs are rarely a positive technical indicator.
Market Vectors Junior Gold Miners ETF
ETF Trends editorial team contributed to this post.