Gold/Stocks ratio: Time to short Gold and Long S&P500 soon
Many people will think this post is insanity, but I'm simply revisiting, and zooming on a very interesting setup I had detected some time ago.
This is a ratio chart of the S&P500 index compared to Gold. The risk off sentiment is reaching a very vivid extreme here, and like anything else, it trends with Time at Mode concepts.
I'm interested in monitoring it since we're very close to a projected target for it, and also, close to the time expiration of the last uptrend signal.
If we see a drastic turn once either (or both) targets are hit (time/price), we might be able to capture a great long term entry in this ratio.
Refer to related ideas for the monthly view.
Cheers,
Ivan Labrie.
This is a ratio chart of the S&P500 index compared to Gold. The risk off sentiment is reaching a very vivid extreme here, and like anything else, it trends with Time at Mode concepts.
I'm interested in monitoring it since we're very close to a projected target for it, and also, close to the time expiration of the last uptrend signal.
If we see a drastic turn once either (or both) targets are hit (time/price), we might be able to capture a great long term entry in this ratio.
Refer to related ideas for the monthly view.
Cheers,
Ivan Labrie.
Commentaire:
Two days left, target not hit yet.
Commentaire:
Nice turn so far.
Commentaire:
Target hit, one day left.
Commentaire:
Right on the last day, we see a turn...I think this is it.
Commentaire:
A break under yesterday's low would seal the deal.
Commentaire:
Let's see how this one progresses. I hope people managed to catch the trade, the idea was to buy S&P500 and sell Gold, or buy S&P500 with gold if you had longs.
Currently a profitable trade. (same as buying oil with gold, which I did take myself)
Currently a profitable trade. (same as buying oil with gold, which I did take myself)
Commentaire:
Two new lows...the deal is sealed.
Commentaire:
Anyone took this pair trade or the oil/gold one?
Commentaire:
This and oil/gold are acting great as pair trades. Not a bad idea to hold the pair setups.
I'm flat atm, on those, but I am in correlated trades.
I'm flat atm, on those, but I am in correlated trades.
Commentaire:
Trendline about to break down.
Commentaire:
Trendline held for now.
Commentaire:
Trendline finally crossed...now if we close below it, this is a big deal!
Commentaire:
Closed below, now retesting, pay attention, gold might be a short.
Commentaire:
Time to monitor this ratio closely. I suspect the market is turning down here, if you trace a trendline you might get some timely warnings here.
Commentaire:
Commentaire:
This ratio keeps telling you when to long gold...now is the time.
