Many of the leading gold mining stocks have been declining since September 2017. The highly followed mining ETF peaked on September 7, 2017 at $25.58 a share. Since that high pivot, GDX has traded down to the $21.50 level and will likely fall lower in the near term. Leading gold mining stocks like Newmont Mining (NYSE:), Royal Gold (NASDAQ:) and Randgold Resources (LON:) (NASDAQ:) are now trading below their important 50-day moving averages, which is signaling near-term weakness for the industry group.
Randgold is one gold mining stock that has caught my eye. The stock should have solid chart support around $86, which is where the stock was defended in July 2017 and will likely serve as support when initially tested. Randgold could be setting up nicely for a long-side at trade this level.