Gold/Silver ratio drops to 200-week SMA for first since April 2017


  • Gold/Silver ratio tests key support for the first time in over three years. 
  • Despite the recent rally, silver remains well below the record high reached in 2011. 
  • Gold is just 3% away from setting a new lifetime high. 

Gold/Silver ratio has been sold off aggressively this week with silver outperforming gold by a big margin. 

Ratio tests 200-week SMA

The ratio fell below the 200-week simple moving average (SMA) of 82.57 on Wednesday to print a low of 80.71. The 200-week SMA has come into play for the first time since April 2017, according to data source TradingView. 

The ratio is currently seen at 82.75 points, representing an 11.5% drop on a week-to-date basis and a 34.6% decline from the high of 124.56 reached in March. As such, one may feel that Silver is not overbought or overvalued. 

However, despite having rallied by 26% this year, the semi-precious metal is trading way below the record high of $49.83 observed in 2011. 

On the other hand, gold is currently trading at nine-year highs above $1,865 and is just 3% short of setting a new record high above the September 2011 high of $1,920. 

Put simply, silver has plenty of room to rally. 

Technical levels

Gold/Silver Ratio

Overview
Today last price 82.75
Today Daily Change 1.47
Today Daily Change % 1.81
Today daily open 81.35
 
Trends
Daily SMA20 95.24
Daily SMA50 97.55
Daily SMA100 104.3
Daily SMA200 95.63
 
Levels
Previous Daily High 86.56
Previous Daily Low 80.77
Previous Weekly High 96.09
Previous Weekly Low 93.02
Previous Monthly High 101.74
Previous Monthly Low 94.8
Daily Fibonacci 38.2% 82.98
Daily Fibonacci 61.8% 84.35
Daily Pivot Point S1 79.23
Daily Pivot Point S2 77.1
Daily Pivot Point S3 73.44
Daily Pivot Point R1 85.01
Daily Pivot Point R2 88.68
Daily Pivot Point R3 90.8

 

 

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

USD/JPY pops and drops on BoJ's expected hold

USD/JPY pops and drops on BoJ's expected hold

USD/JPY reverses a knee-jerk spike to 142.80 and returns to the red below 142.50 after the Bank of Japan announced on Friday that it maintained the short-term rate target in the range of 0.15%-0.25%, as widely expected. Governor Ueda's press conference is next in focus.  

USD/JPY News
AUD/USD bears attack 0.6800 amid PBOC's status-quo, cautious mood

AUD/USD bears attack 0.6800 amid PBOC's status-quo, cautious mood

AUD/USD attacks 0.6800 in Friday's Asian trading, extending its gradual retreat after the PBOC unexpectedly left mortgage lending rates unchanged in September. A cautious market mood also adds to the weight on the Aussie. Fedspeak eyed. 

AUD/USD News
Gold consolidates near record high, bullish potential seems intact

Gold consolidates near record high, bullish potential seems intact

Gold price regained positive traction on Thursday and rallied back closer to the all-time peak touched the previous day in reaction to the Federal Reserve's decision to start the policy easing cycle with an oversized rate cut.

Gold News
Ethereum rallies over 6% following decision to split Pectra upgrade into two phases

Ethereum rallies over 6% following decision to split Pectra upgrade into two phases

In its Consensus Layer Call on Thursday, Ethereum developers decided to split the upcoming Pectra upgrade into two batches. The decision follows concerns about potential risks in shipping the previously approved series of Ethereum improvement proposals.

Read more
Bank of Japan set to keep rates on hold after July’s hike shocked markets

Bank of Japan set to keep rates on hold after July’s hike shocked markets

The Bank of Japan is expected to keep its short-term interest rate target between 0.15% and 0.25% on Friday, following the conclusion of its two-day monetary policy review. The decision is set to be announced during the early Asian session. 

Read more
Moneta Markets review 2024: All you need to know

Moneta Markets review 2024: All you need to know

VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.

Read More

Forex MAJORS

Cryptocurrencies

Signatures