This Chart Shows Why Mining Equities May Not Have Bottomed Yet

Despite the recent sell-off in the mining sector, mining equities’ valuations have not yet reached trough valuations that have coincided with recent market lows:



However, a further sell-off over the next 1-2 weeks that brings the sector’s discount to NAV to near the -25% level could set up a very strong buying opportunity given that mining equities have a strong bullish seasonal bias during the 2nd half of November.

We will continue to monitor the market closely and keep readers apprised of actionable trading setups over at the CHAT.CEO.CA Trading Room.