MM- Remember: two excited guys talking-up Gold/SPX ratioI remember back in May, two excited guys reporting on KITCO said that gold was headed to the moon based on the fact that "whenever" the Gold:SPX ratio exceeded 0.50, and sustained that breakthrough for a week or so, that was a signal that gold was going to increase substantially.
Well, it broke above 0.50 back in May but it wasn't sustained. Said excited guys disappeared.
Since October 9th, the gold/spx ratio has gone from 0.42 to 0.485 at end of day, yesterday. There was an inter-day high yesterday of 0.49. This represents a big move.
The ratio may, once again, peek above the 0.50 range next week, as spx goes down and gold holds steady or rises.
The "two guys" were simply looking at historical data, and showed us their charts on KITCO.
I wonder what the moon really looks like up close.
cleareye.