Running Out of Time on the Season

The precious metals and miners received a rather strong season bounce earlier this month. However, with only a few trading sessions left in August, gold miners are following-through lower on a "bearish engulfing" reversal candlestick which the GDX, ETF for the senior miners, printed last Friday (blue arrows on daily chart, below). 

In addition, silver is back to being the weak link the complex, as the SLV ETF toys with losing $14 this morning. 

Simply put. into Labor Day and beyond I expect this pullback off the rally to be another meaningful test of mettle for gold bugs, if in fact this is anything remotely close to a bear market bottom. If it is, then we should see another leg high this autumn, beyond a mere one-month season trade.