When to Invest in Gold vs Stocks. A easy way to beat the market.
The simple ratio of GOLD / S&P500 provides clarity of when it is best to be invested in Gold or Stocks:
- When the ratio index > 200 week moving average, Gold has historically outperformed stocks (S&P500).
- When the ratio index < 200 week moving average, investing in stocks yielded the best returns.
Following this simple strategy from 2001 would have yielded a 14.5% annual return versus just 5% for the S&P500, and 9% for Gold.
- When the ratio index > 200 week moving average, Gold has historically outperformed stocks (S&P500).
- When the ratio index < 200 week moving average, investing in stocks yielded the best returns.
Following this simple strategy from 2001 would have yielded a 14.5% annual return versus just 5% for the S&P500, and 9% for Gold.
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