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SILVER BREAKOUT THREAD

Au-myn

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#1
As Silver creeps closer to breaking out and issuing a buy signal at $16.25 on a 3x.25 P & F chart that I posted on another thread a while back I wanted to start this thread with a Relative Strength chart.

This P & F chart is the Gold / Silver ratio. The scale is 3x25 making it a long term view. The scaling factor is 10.

Highlighted is a Broadening Formation. We have a top at 800, a bottom at 725 followed by a higher top at 825, a lower bottom at 650 and finally a third top issuing a buy signal at 850. These patterns usually appear near market tops. In rare occasions they are topping patterns and we all know this ratio is maxed out on the high end.

Tick, tick, tick...
Au Ag RS sf10.png
 

Strawboss

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#2
1561409587575.png


This G:S ratio is definitely at a severe extreme...which makes me wonder how much of this is gold being given tier 1 status as a reserve asset on bank balance sheets...are we looking at a "new normal" with the ratio resetting at a higher level? I dunno. Time will tell...
 

Au-myn

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#5
Is it time to load up on options on some silver plays? Or not quite yet?
I already did recently.

My NGD JAN2020 50 cent Calls nearly doubled.
Among other option holdings I have AG JAN2020 7 Calls that currently doubled.