Something Magical is Happening with the Miners

Beyond a spirited rally in gold and now silver, something we have seen intermittently for a few years which usually ended in abrupt rollovers, one of the more interesting aspects of the current move is that those miners which are essentially pausing or taking days off do not suffer much in the way of givebacks. 

Previously, the glaring omission from those precious metal/miner rallies were the strong hands of gold bugs to defend against sharp rollover, which ultimately erased most or all of the progress made during said bounces. 

This time around, though, as illustrated by the likes of AEM and WPM, respectively below on their updated daily timeframes, both larger cap miners are rather calmly basing which smaller cap miners get a bit more of the hot money action today. 

I view this dynamic as a bullish development going forward for the group, regardless of what gold does tomorrow after the jobs number. True, a weaker Dollar would not likely hurt. 

But ultimately the onus is on gold bugs to continue to show they mean business this time around. And the lack of rollover thus far in the face of stubbornly weak equity markets is a sure step in the right direction.