GDXJ – Junior Gold Miner ETF (Last:36.44)

The 42.09 rally target we’ve been using looks no less likely to be achieved, notwithstanding last week’s punitive selloff from the pink line (p2=39.18).  That won’t make the prospect of a ‘mechanical’ buy any less intimidating, however. The first opportunity, which I am not recommending, would be to buy at the red line with a 34.34 stop-loss. It was touched and slightly exceeded on Friday, but we’ll wait for a less risky opportunity at x=33.37.  Even then, we’ll need to create a ‘camouflage’ trigger to avoid exposing ourselves to nearly $3 of entry risk per share.