The precious metals of Gold and Silver saw net January gains of +$194.00 (7.3%) to $2835.00, and +$3.02 (10.3%) to $32.26 respectively.
Gold, monthly1b
Silver, monthly1b
Summary
Gold: printing a new historic high of $2862.90, if cooling back to settle in the $2835s. Price momentum ticked back upward, and remains on the high side. I would note the monthly 10MA at $2555, which was settled above, as the m/t trend remains bullish.
Giant psy' $3K is clearly viable within February, if more realistic in March. Lower bond yields and a weaker dollar would help, but aren't a necessity.
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Silver: printing $32.92, but cooling back to settle at $32.26.
Momentum is flat-lining on
the moderately high side.
I would note the monthly 10MA at $30.16, which was settled back above, as the s/t trend is back to bullish
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Relative to 2011 - when Gold $1923 and Silver $49s, gold is still
outperforming silver. Even the bold will continue to favour gold, which would
better capture a geo-political 'fear bid'.
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The gold-silver ratio stands at 87.87, and remains historically
high. I'd accept that on a very long term basis (5+ years) silver could
be expected to outperform gold.
As ever, ratio charts should be
especially treated with caution.
Price action is far more important than any ratio.
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With Bitcoin recently printing a new historic high of $109340, the
gold-Bitcoin ratio broke a new historic high, settling January at 36.12. Its a
curious thought to realise that it takes a little more than 36x 1oz gold coins to
purchase a crypto coin, the latter of which has an intrinsic
value of $0.00
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