• 8 hours The Next Fashion Frontier
  • 1 day What Is Africa’s Role In The New Silk Road?
  • 2 days Trump Was Right About The Dollar
  • 2 days Is Silver Gearing Up For A Rally?
  • 2 days World’s Largest Hedge Fund Turns Bullish On Gold
  • 2 days It’s Time To Spend More On Clean Energy R&D
  • 3 days Contrarian Investors Are Beating The Stock Market
  • 3 days Bulgaria’s Revenue Agency Falls Victim To Biggest Cyber Heist In History
  • 3 days Amazon Faces European Union Anti-Trust Probe
  • 3 days Commodities Are Having A Stellar Year
  • 4 days Bezos’ Next Big Project Could Be Worth $100 Billion Per Year
  • 4 days 3,600 Years Later, Climate Change Turns Mammoths Into $40M Market
  • 4 days Tesla, Apple Claim China Is Stealing Intellectual Property
  • 4 days EV Giants Duke It Out For Battery Dominance
  • 5 days Tech Billionaire Takes Aim At Google
  • 5 days Chinese Police Bust Largest Ever Illicit Crypto Mining Operation
  • 5 days Expect A Pullback Before Gold's Next Major Rally
  • 5 days Why Interest On Gold Matters
  • 6 days Ten Extravagant Food Items For The Wealthy Only
  • 6 days Why Saudi Arabia Won't Give Up On The Aramco IPO
Market Sentiment At Its Lowest In 10 Months

Market Sentiment At Its Lowest In 10 Months

Stocks sold off last week…

Billionaires Are Pushing Art To New Limits

Billionaires Are Pushing Art To New Limits

Welcome to Art Basel: The…

Avi Gilburt

Avi Gilburt

ElliottWaveTrader.net

Avi Gilburt is a widely followed Elliott Wave technical analyst and author of ElliottWaveTrader.net (www.elliottwavetrader.net), a live Trading Room featuring his intraday market analysis (including…

Contact Author

  1. Home
  2. Markets
  3. Other

Is Barrick Gold Close To Finding A Bottom?

Mine

We have seen downgrade after downgrade on Barrick Gold (ABX) for years. Many keep looking lower and lower, with some even considering that this stalwart in the miners’ complex may even go out of business due to its debt load.

However, back in 2015, it was one of the first miners to bottom. In fact, when we saw the potential bottoming of ABX in 2015, we actually opened our EWT Miners Portfolio in September of 2015, and the ABX was one of our first buys.

But after it hit its high over a year and a half ago, it has been within a corrective pullback from the August 2016 high. And, since that time, it has seen sentiment about the company drop consistently.

In the last quarter of 2017, when the GDX broke its upper support in September, I noted that the ABX has a set up to take it down to the 11-12 region, and we were in the 16-17 region at the time. And, if you note the “buy zone” on the chart below, it was placed there in September of 2017.

Currently, ABX has struck our downside target but has not confirmed that the downside is yet complete. We are now just below the resistance we were looking for it to hit its head upon in the 12.50 region. As long as ABX remains below this resistance, it has a downside set up to drop towards the 10.80-11 region to complete this long-term pullback in which it has been mired since mid-2016.

However, if we see strength through the 12.50 region, and it can continue to rally up towards the 13.50-14 region in the next few weeks, then it provides us with a strong indication that the lows for ABX have been seen, and we are likely setting up the next major bullish move for ABX for the rest of 2018. Related: What Killed Toys ‘R’ Us?

But, under either circumstance, I expect the ABX to strike a significant bottom in the near term, and see it resume its bull market run into the end of the year.

Lastly, since ABX has been a major drag on the GDX of late, I believe that the GDX will finally begin its bullish pattern once the ABX finds a bottom and is no longer a drag on the GDX.

(Cllick to enlarge)

By Avi Gilburt, ElliottWaveTrader.net

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment