The HUI has added on another small leg, but it has gone vertical, which cannot last. A correction has to happen or a return to a bearish trend, sending gold stocks crashing. Do all the contrarians feel rich yet? They have been
adding to extreme bottoms any chance they get.
This move is a like somebody throwing many $100 bills on the table and the only way to grab those bills is to sell on the spike. Of course they will say no as they wait for higher prices to come. In other words, they become greedy leaving money on the table. I am sure many traders have done this and eventually they will pay for it when the prices implode or correct.
There are many open gaps below, with the GDX and GDXJ confirming many gaps as well, so at a minimum a correction is due.