We can experiment with the opening here in the copper/gold ratio as commodity shortages begin to make the rounds as widely expected. 📌 Probably the most sensible response is to prepare for a slingshot into Copper with reversed flows in and out of Gold. Shortages/ It seems to be an inflection point at an early stage in the crisis. I would have preferred...
The copper/gold ratio is traditionally viewed as a good proxy for bond yields, and that relationship has held mostly true of late. That said, we do not agree with all this exuberance over a topside "breakout". The ratio is sitting right in the middle of the recent range with heavily overbought RSI levels. Could go either way.
Copper vs. Gold Ratio is displaying a very well defined momentum divergence - have we seen rates reach a low?
Gold play on Fibretracement. Expecting drop to lower level based on high CCI. Alert for $1.50 range. Note here for self. Comment if you like.
It looks like the Bond market hasn't priced in growth or we're going to see a nasty reversion trade in the materials sector and a bond pop. The Copper / Gold pair is a great proxy for inflation due to the divergent properties of the 2 metals. Copper is purely an industrial metal and a proxy for inflationary growth so the 10yr reacts correspondingly. Gold, on...
Goes against my bulled up metals view but will be looking to short above $61. May the meltdown china induced... writing in the tea leaves?
Bull recoil complete. Time for a tank sub 400? Long term model suggests a run up towards 700