Gold and gold mining stocks were setting up for a rebound until the market
suddenly priced in tighter policy from the Federal Reserve. Both nominal and
real yields surged and that pushed an already oversold sector below key support.
Gold lost support in the mid $1100s while gold stocks (GDX) lost a critical
support level. While the sector is oversold and likely to rebound as 2017 begins,
the primary trend remains lower.
Our first chart plots Gold and the real yield on the 5-year TIP se
