Gold/Stocks ratio: Time to short Gold and Long S&P500 soon

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Many people will think this post is insanity, but I'm simply revisiting, and zooming on a very interesting setup I had detected some time ago.
This is a ratio chart of the S&P500 index compared to Gold . The risk off sentiment is reaching a very vivid extreme here, and like anything else, it trends with Time at Mode concepts.
I'm interested in monitoring it since we're very close to a projected target for it, and also, close to the time expiration of the last uptrend signal.

If we see a drastic turn once either (or both) targets are hit (time/price), we might be able to capture a great long term entry in this ratio.

Refer to related ideas for the monthly view.


Ivan Labrie.
Feb 09
Comment: Two days left, target not hit yet.
Feb 10
Comment: Nice turn so far.
Feb 10
Comment: Target hit, one day left.
Feb 11
Comment: Right on the last day, we see a turn...I think this is it.
Feb 12
Comment: A break under yesterday's low would seal the deal.
Feb 13
Comment: Let's see how this one progresses. I hope people managed to catch the trade, the idea was to buy S&P500 and sell Gold, or buy S&P500 with gold if you had longs.
Currently a profitable trade. (same as buying oil with gold, which I did take myself)
Feb 15
Comment: Two new lows...the deal is sealed.
Feb 15
Comment: Anyone took this pair trade or the oil/gold one?
Feb 17
Comment: This and oil/gold are acting great as pair trades. Not a bad idea to hold the pair setups.
I'm flat atm, on those, but I am in correlated trades.
Feb 18
Comment: Trendline about to break down.
Feb 21
Comment: Trendline held for now.
Feb 22
Comment: Trendline finally crossed...now if we close below it, this is a big deal!
Feb 22
Comment: Closed below, now retesting, pay attention, gold might be a short.
Mar 08
Comment: Time to monitor this ratio closely. I suspect the market is turning down here, if you trace a trendline you might get some timely warnings here.

Mar 16
Apr 28
Comment: This ratio keeps telling you when to long gold...now is the time.
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