From Chris Kimble: This chart looks at the Silver/Gold Ratio over the past 30-years. Historically when the ratio is heading higher it sends a message to be long and strong Gold & Silver.
When the ratio is heading lower, historically it’s been a great time to avoid Gold & Silver. The ratio has been heading lower since the highs back in 2011, suggesting it’s not the time to buy and hold Silver & Gold.
The decline in the ratio over the past 7-years has it currently testing the 1995 lows as well as a potential support line at (2).
Best time to buy Silver & Gold in the past 25-years? The ratio needs to find support and rally at (2) if it is to send a strong buy signal to Silver & Gold!
The SPDR Gold Trust ETF (GLD) fell $0.03 (-0.03%) in premarket trading Thursday. Year-to-date, GLD has declined -7.90%, versus a 9.57% rise in the benchmark S&P 500 index during the same period.
This article is brought to you courtesy of Kimble Charting Solutions.