Quote:
Originally Posted by Unregistered
I am from the semicon industry. Based on past history, typically, our industry with face the 1st wave of downturn impact. After 6mth, the rest of the industries will follow suit.
FYI, this impact has already been observed since last mth. A couple of my vendor are receiving zero order.
In such context, I can't visualize how could your comment on 6mth time the share which you have recommanded can double up. Shouldn't it be plunging down instead due to the economic crisis?
Kindly give comment.
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Despite the huge gap down in the share price of GDX yesterday, the buy signal still hasn't sell. It is still in the buy signal if it can rise slightly, probably 0.75% today. If it continues to drop further today, then a sell signal will be generated and I will notify all of you. In fact, if the price rises slightly today to avoid a sell signal, it is a classical way these gold miners can launch its bull run (note that I am refering to gold miners, not other industries).
Regarding your comment about recession/weak economy, it is almost a certainty. For the fact, DOW theory has generated its sell signal 1-2 months ago. However, we are talking about gold miners here. As I have said, gold and silver prices have had a good run and their prices are high. This high price in gold and silver will translate to huge profit growth in these miners in the near future which hopefully will induce an appreciation in the share price. However, of course, if there is a credit crunch like what happened in 2008, then even these miners may not be spared but I think there is a low probability of that happening.