GOLD/Silver Ratio short. Short

GOLD/SILVER RATIOTVC

Description

⋅ Mar 10, 2018 8:35 AM

Short for GOLD/Silver ratio. Its been at 80 range for long time and if penetrates trough 79 is highly likely to stop at 76 area. Two main concerns with this trade:

1. Price of the gold is high right now and it is possible to drop down to 1220 very soon.
2. On opposite site silver is under\valued and from 16.50 zone it wont be surprise to reach 17.50 and above.

Simple math 1220/17.50= 69.71 which makes sense.

Comments

Tara

⋅ Mar 11, 2018 7:23 AM

Thanks for the chart. But, I thought Silver just mimics the movement of Gold?

Marto_Jekko

⋅ Mar 11, 2018 7:55 AM

@Tara, if it mimics the movement of the gold it wont be such difference. Looks back in the time where ratio was 30+. Silver is under valuated

google.com.sa/imgres?imgurl=https://cdn.golddealer.com/wp-content/uploads/2015/01/graph.png?x76261&imgrefurl=https://www.golddealer.com/gold-to-silver-ratio/&h=552&w=930&tbnid=HQGBV9DS53Oq9M:&tbnh=137&tbnw=231&usg=__n2g6YqxwblRFw93CmaAxmCiTv28=&vet=10ahUKEwjGrN235ePZAhUFOBQKHcBJCY8Q9QEIKzAA..i&docid=NyZZbu9AzsdOzM&sa=X&ved=0ahUKEwjGrN235ePZAhUFOBQKHcBJCY8Q9QEIKzAA

Tara

⋅ Mar 12, 2018 5:02 AM

@MartinJekko, Thanks for the response. I agree, silver is really undervalued.