GOLDSILVER trade ideas
GOLD/SILVER RATIO, CUP & HANDLE ?This IDEA came to me as a surprise to me, BUT its entirely possible.
If this Cup & Handle pattern plays out; As we go into next year, silver's additional earnings potential/power will generally degrease with time when compare to GOLD.
But it will still rise higher as a percentage.
Silver to Outperform Gold in the Future?2020 was one of the best years on record for gold, as investors piled into the safe-haven asset amid geopolitical and economic uncertainty. The precious metal even hit a record high of $2,075 on August 7, 2020.
But I don't see gold repeating its stellar performance in 2021. Instead, I see other metals- including silver and platinum - outperforming gold during the year ahead. We saw new highs for Gold and Bitcoin; however, we still didn't see new all-time highs for Silver which I expect to see in the next few years. Also, a greater focus from policymakers on renewable energy and decarbonization in 2021 may also help silver as silver is known to be an industrial metal other than a safe-haven asset only.
From my end, inflation is here to stay. Precious metals are currently trading at a very discounted price, and I believe to see a great rally for metals by end of 2021. I don't expect to see higher interest rates as I believe that there is still no recovery in the economy especially in the labor market.
Thus, by the end of 2021, I expect a boom for safe-haven assets such as Gold and Silver; however this time, Silver will outshine Gold.
gold - silver ratio long termBeginning of 2020 the ratio was at 126, which means it took 126 oz of silver to buy one oz of gold. A few months ago we had been at a ratio of 62. That means silver had almost doubled it's value regarding gold. We are at 69 currently, so if I would have metal and I expect the ratio to go up again this would be the time where I should exchange my silver for gold.
However, I do have neither so it makes more sense to take fiat to buy gold if I expect the rate to go up again and at a later point, when I would get more silver oz for 1 gold oz I should exchange one metal for the other. Can someone confirm this?
Gold/Silver Falling WedgeGold/Silver is breaking out a falling wedge. I’m expecting Gold to gain value against silver for for at least a few weeks. Weekly RSI is very low...there’s room for Gold to go up against Silver, but the overall trend remains bearish. I could see the ratio go up to about 85-90 and then fall again. I’ll be watching the weekly RSI closely.
GOLD/SILVER Ratio! Sell Gold, Buy Silver?
Hello,Traders!
What an interesting chart I've discovered right now.
A chart from the era of the bi-metallic monetary systems
Where both gold and silver were used to mint coins
However, history aside, the chart is very telling
And we can see that gold is overvalued in relation to silver
And the breakout of both the rising channel and a massive horizontal level
Indicates that the pair is in the downtrend long term
But how to use it? There is no such thing as Gold to Silver futures right?
Well, you can create this contract artificially on your trading account
By shorting Gold and buying Silver proportionally
By doing so you are creating an artificial Gold/Silver contract
As the USD factor cancels itself out of both pairs
So this way you are indeed trading gold against silver!
Sell!
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See other ideas below too!
XAGUSD: Why I Think Silver has LOWER to GOIF you trade SILVER you Should be familiar with The GOLD/SILVER RATIO, which typically moves INVERSELY to the PRICE of SILVER,
The GOLD/SILVER RATIO looks to be completing A WAVE-B correction, with WAVE-C starting soon in both GOLD/SILVER RATIO & SILVER, (albeit moving in INVERSE/opposite directions).
SILVER = SHORT.
GOLD/SILVER RATIO = LONG.
Gold/Silver ratio cycles signal an upcoming smoke show in pm's.This is a related idea and I recommend to scan the previous ones at least briefly to understand what I am about to say.
As you can see cycles totally support the bullish market in gold and silver, since silver moves more percentage terms than gold in both directions - the reason why the ratio swings up and down. I expect gold to reach around 2050-2070 and silver 32.5-33.75 by late February-early March - that gives a 61.3-63 target range for the ratio - double bottom and a place where the ratio will bounce causing a short term pull back in the metals. Then mid April - right around the cycle top in gold and silver, the cycle will be bottoming for the ratio. The targets I figured for gold and silver for April are the following ranges: 2450-2520 (Gold) and 42-44 (Silver) - gives a ratio range of 57.3-58.3 - what a coincidence - at that time there will be an upper boundary trend line waiting at this exact point.