$HUI (Gold Bug Index) and Infamous Exponential Moving Average Strategy

The HUI Index is an index of fourteen gold mining companies that do not hedge their production beyond 18 months.  It is also referred to as the Gold BUGS (Basket of Unhedged Gold Stocks) Index. The following chart depicts the EMA Strategy for this index. Bottom-line is that the $HUI is still in a bearish trend, dating back to November 2012. In other words, you don't buy gold mining stocks until the HUI's 14-week EMA > 40-week EMA! Always utilize the KISS principle for investing.