GBN.V vs. Gold Monthly

We finally got a low print from stockcharts.com, and you can see that GBN.V is trading at a low against gold, comparable to the low in Dec. 2009 or Dec. 2000.

The strange thing is that the low against gold is coming in May/June. With the rally in gold prices on June 1, this probably characterizes the low again.

Not so sure if this will be our low finally, though the weekly P&F pointed an 18¢ low from some time before.

The lows are easier to see in log scale, while the highs are easier to see in linear scale. Normally lows come in May/June that might be deceptive, when August interim lows seem to be the time to look for entry points. But there are also lows that come in December that beat all. This will be a very difficult one to call, especially with equity markets breaking down.

Gold mining shares have not necessarily performed along with gold, and have lagged overall.

stockcharts.com

-F6