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Support is support until it collapses but if the 10-year support line for the HUI Index is breached it is a loooong way down!!!
[The following post is presented by Lorimer Wilson, editor of www.munKNEE.com and the FREE Market Intelligence Report newsletter (sample here – register here) and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. This paragraph must be included in any article re-posting to avoid copyright infringement.]
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Its been a rough couple of years for the Gold Bugs index (HUI), as its lost almost two-thirds of its value. The large decline has driven the HUI down to dual long-term support lines, on a monthly basis, as seen in the chart above.
Support is support until broken but if this support fails to hold for the Gold Bugs index, the next support line is a long way down there!
[Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.]
* http://blog.kimblechartingsolutions.com/2013/08/gold-bugs-index-on-10-year-support-a-must-hold/ (Kimble Charting Solutions “Power of the Pattern” Free Email Alerts! Subscribe Here)
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