NEM slides over 4% as bullish momentum indicators are offset by sharp downside gap

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Newmont slides 4.3% today on volatility

Highlights

Institutional investors including Euro Pacific Asset Management, AEGON Asset Management UK, and Kestra Advisory Services acquired new positions in Newmont during the third quarter.
Newmont reported annual revenue of $22.67 billion and net profit of $7.08 billion, with share buybacks totaling $1.9 billion since the previous earnings call.
Newmont stock is in a bullish trend above key technical levels, with the next five-day expected price range at $112.28 to $127.28 and a high likelihood of price consolidation or rebound.

Institutional buying and executive share sale shape sentiment amid ongoing buybacks

Several institutional investors, including Euro Pacific Asset Management, AEGON Asset Management UK, and Kestra Advisory Services, acquired new positions in Newmont during the third quarter. The company reported annual revenue of $22.67 billion and net profit of $7.08 billion, along with a quarterly dividend declaration and ongoing share buybacks totaling approximately $1.9 billion since the previous earnings call. The CEO executed a $2.9 million share sale under a prearranged plan, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, notes that Newmont's sharp 4.3% fall stands out against bullish technicals and positive institutional inflows. He sees the CEO's $2.9 million share sale as a potential warning signal, especially with price action under persistent selling pressure. Despite trading above key averages, mixed momentum and overbought indicators create a vulnerable setup. High volatility and gaps indicate unstable sentiment, increasing the risk of further downside. "Even with strong fundamentals, I am wary of downside acceleration if $118.94 fails to hold support."

Viktoras Karapetjanc, expert at Traders Union, highlights robust institutional interest and solid financials. He views ongoing buybacks and consistent dividends as evidence of management's confidence in the company. Despite recent volatility, Karapetjanc believes Newmont's bullish structure remains intact above $118.94. He sees a high chance of rebound and further growth if resistance at $122.91 is overcome. "This market continues to offer multiple bullish setups — I expect stronger gains ahead once consolidation completes."

Sholanke Dele, market strategist, considers broader risk trends behind Newmont's selloff. He is cautious about the stock's volatility and the divergence between technical strength and real market behavior. Dele points to the heavy intraday loss as a warning for risk-sensitive investors. "Signs of overheating and persistent selling pressure mean caution is still needed in the near term."

Mixed momentum and overbought signals despite trading above key averages

Newmont is trading above its 20-day, 50-day, and 200-day moving averages, indicating a broadly bullish trend across short, medium, and long timeframes. The price sits at $119.78, with support at $118.94 and resistance at $122.91. Momentum indicators are mixed: MACD and Average Directional Index (ADX) remain neutral, and the Relative Strength Index (RSI) is also neutral. The Stochastic RSI and Commodity Channel Index (CCI) are both in the overbought zone, suggesting a risk of short-term overheating. Bull/Bear Power (BBP) is strongly positive, reflecting sustained buyer interest on an intraday basis, and the Awesome Oscillator also signals bullish momentum. Despite these bullish technical markers, the stock experienced a downside gap of $4.73 (3.78%) and is trading near session lows amid heightened intraday volatility of 3.34%.

Previously it was reported that Barrick Mining Corp. and Newmont reached an agreement to transfer a stake in the Fourmile gold deposit prompting a reassessment of development plans for this major Nevada asset. For Newmont shares, near-term price action may remain volatile, with $118.94 and $122.91 serving as key technical levels to watch for both potential downside acceleration and a move toward the upper trading band.

Source of Data: NEM Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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