An impressive 3.26% gain today brought the Fidelity Select Gold Fund (FSAGX) close to its long-term declining trendline. FSAGX has already advanced beyond its 100 day moving average. A continued advance passing the trendline can reverse the bear market in gold stocks.
We wrote in our March 25, 2012 blog entry that gold stocks no longer shine. The bear market in gold stocks has continued ever since. The Fidelity Select Gold Fund (FSAGX, last change: 0.55%) is now the weakest year-to-date performer with a -13.57% loss in our survey of Fidelity mutual funds.