Divergence - Gold vs. Gold Stocks...There are better fishing ponds

Despite a significant rally in gold over the last week, stocks have underperformed. In fact, many such as Newmont (NEM) and Kinross (KGC) have broken down.

The gold sector has been exhibiting deteriorating breadth since the middle of January and we now are running into a seasonally weak period. Caution is warranted.

Bullish % for Precious Metals Sector