HUI index

I'm not a technical analyst, and not a particularly good trader either, so don't take my word for it.  But if the HUI (AMEX Gold Bugs Index) takes out its all-time high, we could have a further upside break out in gold and silver.  If the HUI fails to take out its 597 high, we should see a retreat and further consolidation.  Either way, the secular bull market in precious metals should be intact, barring a waterfall decline in both metals (e.g. a bear raid takes out all the stops of the weak longs).

See disclaimer in the side bar.

Disclosure:  I have no position in the HUI, although I am long precious metals mining shares.