Like so many other gold vehicles, this one looks unlikely to avoid a test of 2008’s watershed low at 150. It has likely become magnetic by now, and although we needn’t attach much significance to a breach of the low, assuming one occurs, the short-squeeze that follows a running of stops just beneath it would need to be a humdinger to power HUI out of the hole. What would it take to annul this very bearish outlook? Answer: Nothing less than a rocket ride exceeding 291.07 — a 31% rally from here.
