Over the last 2 years, the Gold/Silver ratio has had a RSI reading over 70 two times indicated below circled in red. (With the 2nd time was a few weeks ago). The 'overbought' reading can be used as an entry point into the Silver market.
The late January 2010 RSI peak had a Gold/Silver ratio just above 70 which eventually dropped all the way down to the low 30's within 1 year and 3 months. (A LOT of money was made by hedge funds and trend traders during this period).
The current ratio is at ~52 and many precious metals investors believe that the ratio will eventually end up close to 15/1. (The ratio that our founding fathers wrote in the coinage act of 1792)
Coinage_Act_of_1792
With Gold currently at $1680, a 15/1 ratio would place Silver at $112. One can purchase Silver at $32 an ounce today. Do you like to purchase items when they are on sale? How about money that you can get for a ~71% discount?
The late January 2010 RSI peak had a Gold/Silver ratio just above 70 which eventually dropped all the way down to the low 30's within 1 year and 3 months. (A LOT of money was made by hedge funds and trend traders during this period).
The current ratio is at ~52 and many precious metals investors believe that the ratio will eventually end up close to 15/1. (The ratio that our founding fathers wrote in the coinage act of 1792)
Coinage_Act_of_1792
With Gold currently at $1680, a 15/1 ratio would place Silver at $112. One can purchase Silver at $32 an ounce today. Do you like to purchase items when they are on sale? How about money that you can get for a ~71% discount?
