Miners’ mixed performance
Most precious metals saw mixed performances on June 19. In this article, we’ll look at the technicals of a few selected miners—Goldcorp, Yamana, Hecla, and Gold Fields.
The June 14 Federal Reserve interest rate hike came as no surprise to market participants, but mining stocks saw choppy seas after that. However, they seemed to slowly stabilize.
The year-to-date performance of most of the miners is mixed, as a few have year-to-date losses and some trade at year-to-date gains. The direction in which they are headed remains unknown.
Goldcorp (GG), Yamana Gold (AUY), and Hecla Mining (HL) have fallen 4.1%, 15.7%, and 1.1% year-to-date, respectively. However, Gold Fields (GFI) has risen 14.6% year-to-date. During the same timeframe, the VanEck Vectors Junior Gold Miners ETF (GDXJ) has risen just 2.9%.
These four miners are trading below their short-term 20-day moving averages and also below their 100-day moving averages.
A premium above the stock’s price may suggest a possible downward correction, while a considerable discount to a stock stands for a potential price rise. These four miners also set their target prices above the current trading price, which suggests a possible rise in price.
The miners’ RSI scores have fallen over the past one-week period. The VanEck Vectors Junior Gold Miners ETF (GDXJ) has an RSI level of 56.