Then it will be back to the old grind.
For the above figure I have used a simple 3 pt moving average of the ratio of the month-end prices for gold and silver. The lag is twelve months. The projected point, which is back in the green area that has largely characterized the gold-silver ratio system over the past fifteen years, is based on today's (actually yesterday's closing prices).
Assuming that the gold-silver ratio does not change before the end of the month, we will be back in the green area.
To avoid this return, we would need the gold-silver ratio to fall to about 46 by the end of this month. At the present gold price, we would need to see a silver price of about $35. Not impossible, but time is running out.
Disclosure: long silver, long gold.
For the above figure I have used a simple 3 pt moving average of the ratio of the month-end prices for gold and silver. The lag is twelve months. The projected point, which is back in the green area that has largely characterized the gold-silver ratio system over the past fifteen years, is based on today's (actually yesterday's closing prices).
Assuming that the gold-silver ratio does not change before the end of the month, we will be back in the green area.
To avoid this return, we would need the gold-silver ratio to fall to about 46 by the end of this month. At the present gold price, we would need to see a silver price of about $35. Not impossible, but time is running out.
Disclosure: long silver, long gold.
Good stuff!
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