Venture is once again testing its lows from last year. Last year there was a low in late June around 1170, a couple of tests in July, another test in December, and it looks like were going there again.

The current test is concerning for 2 reasons. It's happening at the same time as US and most world markets are clearly in bull mode – perhaps even in blow-off mode, with a serious correction getting ever closer. I can't imagine Venture holding up when other markets start to correct – especially since even a strong run by the Shanghai has failed to lift Canadian juniors. Also, I'm uncomfortable with the frequency of these tests – I believe each test stresses and weakens the underlying support.

IMO, there is a very good chance that support will break and Venture will start yet another leg down. The same is true for both large & small cap gold stocks. There are positive divergences on the weekly MACD, so when we finally get a solid low, there could be a strong run in most of the surviving stocks, but in the meantime, it doesn't look good. A short term bounce should come soon, - a good time to raise cash methinks.....