XAUXAG trade ideas
Bearish Shark CompletedThe idea is to short long term (this can mean 2 things, price of gold will fall faster than silver or price of silver xagusd will rise faster than gold xauusd) We can also see bearish div in RSI and AO.
SL 84
tp 51
Good luck!!
XAUXAG ShortFirstly, let me put in a declaimer: I do not know if Elliott Waves can be applied to spreads. Secondly, this is a CFD and not the actual futures spread and thus some spikes are purposely disregarded because it can be due to the Oanda widening of the spreads that causes those moves (note that the CFD spreads are actually much wider than the futures and they have a tendency to widen ridiculously during events).
With that, my analysis shows that the gold/silver spread seems to have topped. And with my expectation that Precious Metals will move up with the collapse of the equity markets, this means that Silver will move up much faster and much more than Gold.
DeMark Monthly Sell Setup on Gold/Silver Ratiolets see how good this demark trading strategy is. massive rally ins ilver should begin and continue this month due to perfected TD sell setup
XAUXAG/Gold Silver ratio 1monthHistorically when an ounce of gold buys 80 ounces of silver, silver is deemed undervalued. People (so I have heard) do this swap and then switch back to some gold on the lower supports.
I believe personally silver is undervalued *not advice*
Its stochastic is overbought on the monthly too
01-14 Gold to Silver ratio Chart (by Got Goldies)You can see Gold ratio is topping out. These are more than 1 year tops. I believe about a 5 year top.
10-09 Silver to Gold ratio (by Got Goldies)49 to 1.
at 1450 that is 29
at 1550 its 31
at 1300 its 26
10-05 Silver to Gold Ratio Chart (by Got Goldies)And now you can make a forecast.. i.e look at my USD charts from 2-28.
10-05 Silver to Gold Ratio Chart ( by Got Goldies)And I can teach you the different types of topping formation based on this SGR chart.
GOLDSILVERThe precious metals move is just getting started. The huge capulation move in silver marks the bottom as the gold silver ratio also made a nice grouping of pins at resistance. Anyone playing this market needs to look longterm as in monthly/ yearly charts and do not use any stops or you will get eaten alive. Silver leads the way always. The ratio is at historical highs now and topping out. Buy silver, hold gold.
