Back in 2011, the Gold to Silver ratio matched highs that took place in the early 1980’s but it’s been downhill for Gold and Silver ever since. Could the long-term trend in metals be about to change?
The original article has been edited here for length (…) and clarity ([ ]) by munKNEE.com to provide a fast & easy read.
The decline in the ratio now has it testing its 20-year support line (1), which has held several times over the past 20-years…[and] could be creating a bullish inverse head & shoulders pattern.
(Click on image to enlarge)
…If the read of the inverse head & shoulders pattern is correct and falling resistance is broken to the upside at (3), the Gold to Silver ratio could be sending a bullish message not seen many times over the past 7-years!
What do metals bulls NOT want to see? Support line (1) fail to hold!!! If it does, the ratio would continue to send a concerning message to the precious metals markets.
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