Gold Miner Selloff Erases Bullish Participation

Gold miners have entered a rare technical stress point after the Gold Miners Bullish Percent Index dropped to zero, a reading that signals bullish Point & Figure patterns have disappeared across the measured miner basket rather than merely weakened at the ETF level.

In a StockCharts image posted by Oliver Groß, $BPGDM showed at Last 0.00, with an intraday Low of 0.00, after opening at 34.62 on June 9, 2026. The same chart showed a -34.62 move, equal to -100.00%, making the drop a full wipeout of the index’s prior reading.

A Bullish Percent Index tracks the percentage of stocks in a group that remain on Point & Figure buy signals. A zero reading means the indicator is no longer describing routine weakness. It shows that the internal technical base of the gold-mining group has been cleared out, at least by this measure.

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StockQ listed the Gold Miners Bullish Index at 7.69 on June 5, after a decline from 30.77 in early June, showing that miner breadth had already been deteriorating before the chart showed the index reaching zero.

Reuters reported that spot gold fell 1.5% to $4,264.70 and US gold futures down 1.8% to $4,286.40 on Tuesday, its lowest level in more than two months, as rising Treasury-yield pressure and renewed fears of a US rate hike pushed investors toward the dollar and away from non-yielding assets. A separate Reuters poll found most economists now expect the Federal Reserve to hold rates at 3.50% to 3.75% through the rest of 2026, with rate-cut calls fading as war-driven inflation remains sticky.

The miners got hit harder because they are basically gold with operating leverage and equity-market baggage attached. GDX fell 1.36% to $77.59, while junior-miner ETF GDXJ fell 2.03% to $99.54, showing heavier pressure on the more speculative end of the sector.

The actual drivers were a stack of negatives: gold breaking lower, rate-hike fears after strong US jobs data, inflation uncertainty before CPI/PPI, broader market risk-off pressure, and fading safe-haven support as parts of the Middle East risk premium eased.

The ETF tape is moving in the same direction. VanEck Gold Miners ETF recently traded at $77.59, down 1.36%, while VanEck Junior Gold Miners ETF traded at $99.54, down 2.03%.

The junior-miner decline is especially important because smaller miners often carry more sensitivity to financing conditions, exploration risk, and equity-market liquidity. GDXJ’s steeper move suggests investors are not only reducing exposure to gold-linked equities, but moving away from the higher-beta end of the mining trade.

The zero reading does not, by itself, prove that the selloff is over. StockCharts’ framework treats Bullish Percent Index readings below 30% as oversold territory, but oversold conditions can persist when buyers have not yet returned to the group.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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