Silver vs Gold Never Gets Old

Two weeks ago, I wrote about the breakout that was brewing in silver. 

And it wasn’t just about the price action in gold.

There were finally other signals emerging and suggesting higher prices for the precious metal. We just needed to see if those trends had legs. 

The silver/gold ratio is everything when it comes to risk appetite. It’s the oldest intermarket indicator in the world of commodities. Here’s what I said about it:

“If I end up being right about silver, we’re going to see the silver/gold ratio fail this breakdown and scoop higher”.

The writing was already on the wall for an epic bear trap, and this week it fired. 

The silver/gold ratio just had one of its best weeks in history and failed this topping pattern with authority. 

I think this is the ultimate risk-on signal for metals.

But even more than that, it is the next building block of evidence hinting at a new bull cycle for commodities.

In the same way that gold miners relative and the juniors vs producers ratios are.  And Platinum and palladium… and copper. And the list goes on. 

There’s just a lot going on across commodities markets right now. And it’s overwhelmingly bullish. 

Jason and I went live to unpack it all today. 

You can rewatch our commodities playbook discussion here. We covered everything and shared some of our favorite ideas that are actionable right now. 

Steve