Purty Pennant Correction in Gold

on a very short term time frame that should resolve to the upside. Here's a 1 month candlestick 60 minute intraday chart thru today's close:



Some more potential bullishness based on historic data for those interested. Check out this 26 year monthly ratio chart of the $XAU mining index divided by the Gold price ($XAU:$GOLD) thru today's close, which tells us when senior blue chip Gold miners are "relatively cheap" compared to the price of Gold:



I don't know if history will repeat, but remember, Gold stocks can play "catch up" to the Gold price in a hurry. If we're in for a repeat of the 1987 or 2002 experiences in the Gold mining sector, here's what we can expect (26 year monthly price of the $XAU Gold mining index follows):



We'll see what happens, but I wouldn't bet against the Gold miners or Gold price over the next 4 months!