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GDX - a drop to 27.00 may be a great buying opportunity

In a course of subwave ( A ) of wave ( 5 ) up GDX retested the top made in wave ( 3 ) up. After subwave ( A ) of wave ( 5 ) tops we should expect a corrective A-B-C down structure in subwave ( B ) down that has to make a higher low over the low made by previous corrective wave ( 4 ) down.

That critical low made by wave ( 4 ) down is located at 25.98.

I watch here an A-B-C down structure of subwave ( B ) down. There are two clusters of targets formed by extensions and retracement levels:

Cluster 1:

: C = 109.2% of A down = 27.26 and 66.7% retracement of ( A ) of ( 5 ) = 27.29;

Cluster 2:

C = 123.6% of A down = 26.94 and 76.4% retracement of ( A ) of ( 5 ) = 26.91;

Those two clusters form my Green Target box.

If GDX drops into that Green Box and manages to hold inside then we may expect a new rally in GDX targeting new highs over $31-32.

GDX - weekly chart updated on 2-03-2020

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