Rally in gold imminent

Well unfortunately I did not post this chart last night or earlier this morning. Anyone who trades gold could have spotted the powerful bounce yesterday off the august trend line, so my analysis here is not so critical. The miners in the ^hui also showed great resilience with a powerful rally from the morning lows. This signals a turning point for this sector, which has been very badly beaten over the last month.

This is a very similar consolidation pattern to last summer. The breakout coming after a final retest of the summer lows. I’m currently holding Hecla mining(hl), and yamana gold (auy) with positions in the mid 8’s and low 14’s respectively.

I’ll be watching resistance at 10 on hecla. We tested this level in two weak rallies, by the third we should break through.