Slowly the Gold/Silver ratio continues to turn; and step by step, inch by inch…
The GSR even has a symmetry thing going on here as the little pullback has formed a right side shoulder to a baby Inverted H&S type pattern.
Curiously, the GSR’s other rider of liquidity destruction, USD, is wobbling, but sloppy chart or not it’s doing so within a daily uptrend.
So which rider has got it right, and will the 2 Horsemen of the Apocalypse come together for what would be needed to wreck the macro again? Has the Treasury-backed Fed killed them or just sent them back to regroup?
While we’re asking questions, will HUI settle for just filling its upper gap while still within its tight bull flag or make a more dramatic test of one of its lower support levels (subscribers ref. NFTRH 600’s chart of weekly HUI and yesterday’s Trade Log update on GDX)? While there are a few historical positive correlations between gold stocks and the Gold/Silver ratio, more often a rising GSR brings temporary pressure on the miners.
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