Major Resistance for the Miners

We discussed last week how there is a change in behavior for the Miners. RSI being embedded in overbought along with the Miners closing above the upper daily cycle band are characteristic of a new intermediate cycle.

The Miners lost the 200 day MA in June and have been unable to close back above it. For the past few days the Miners have been consolidating the break above the 50 Day MA. If (once) they break higher, then 200 day MA is the next area of major resistance for the Miners. The odds that areas of resistance turning a cycle lower increase as the daily cycle matures, so there is a good chance that the 200 day MA will be a short-term top for the Miners.

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