Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Update
The Classic Sign of a Bull Market
May 29, 2024 - (Gold Market Wire) - The classic sign of a Metals Bull Market occurs when Silver starts to run away from Gold. We have been experiencing this lately, with a strong collapse in the ratio between the two metals.
Here's the chart of the ratio, and it is significant.
If we zoom out, we can see how this is signaling an acceleration phase.
Its worth remembering that this ratio went towards 40, during our 2011 peak...so we may have further to go.
On the flat price, Silver is producing the exact pattern you'd expect:
All the while Gold, has been meandering. It will 'catch up', without a doubt... but we doubt the ratio will widen back out to the 80s. Those days are gone.
Alpha in the Silver.
A trader's market par excellence.