Gold miners ETF hits most oversold breadth levels since late July
As seen on the 24/7 Wall St. homepage on October 25, 2026.
A 21-session swing of 80 percentage points in miners trading below their 50-day average is the kind of washout that usually precedes a sharp bounce or a deeper break. Anyone holding gold equities finds out which this week.
Gold stocks have rarely been this oversold. ~92% of stocks in the gold miners ETF, $GDX, are now trading below their 50-day moving average, the highest proportion since late July. This figure has risen +80 percentage points in just 21 sessions. Furthermore, 90% of stocks in https://t.co/iELU7EV549
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About 92% of stocks inside the gold miners ETF are now trading below their 50-day moving average, the highest proportion of underwater components since late July. Below that widely watched trend line, short-term momentum has turned negative.
The proportion of miners below their 50-day average has risen 80 percentage points in 21 trading sessions, a compression that reflects broad and rapid selling across the sector.
A washout of this magnitude either absorbs enough selling pressure to set up a sharp bounce as buyers step in at depressed levels, or signals something more structural as the decline extends further. The facts available right now do not resolve which outcome follows.
The Kobeissi Letter noted on October 25, 2026, that a second breadth measure was also in deteriorating territory. Gold equity investors are being told by the market's own internals that this is a moment of decision.
Mentioned: GDX