Gold miners' stocks rocketed out of mid-March's stock panic, breaking out to major new bull-market highs in mid-May. Such blisteringly-fast gains, and gold stocks' upleg stalling out since, have left many traders nervous about this sector. Calls for a serious selloff are mounting. But arguing in favor for more near-term gains to come, gold stocks never grew overvalued in this post-panic upleg and are still undervalued today.
The recent gold-stock action is best understood through this sector's most-popular benchmark, the VanEck Vectors Gold Miners ETF (GDX). Holding the world's biggest and best gold