Close X Cookies are necessary for the proper functioning of By continuing your navigation on our website, you are accepting the use of cookies.
To learn more about cookies ...

Another Stroll Through Time w/ the HUI-Gold Ratio

IMG Auteur
Published : November 30th, 2012
308 words - Reading time : 0 - 1 minutes
( 0 vote, 0/5 )
Print article
  Article Comments Comment this article Rating All Articles  
Our Newsletter...





This is just a friendly reminder about how bloody important it is for the HUI-Gold Ratio (HGR) leading indicator (to the precious metals sector) to maintain its higher lows status.

Yesterday the goons apparently attacked ‘paper gold’ (according to sources who stand on guard for this stuff) after the HGR had become weak. A pleasant thing happened however, as the HGR did not buy the take down in nominal gold. 2 Hour chart above.

Thus the critical higher low to last summer’s low remains in place despite a savage day yesterday. Daily chart above.

Which allowed HGR to maintain itself well above the critical ‘Armageddon 08′ low. Weekly chart above.

Which itself was a higher low to the kickoff of the secular bull market in 2000 (in nominal HUI, not this ratio). Monthly chart above.

The HGR does indeed look lame over the big picture, but as long as the higher lows are in place and as long as macro fundamentals (e.g. the real price of gold) are in place the above is a view of a buying opportunity, as pained as it is to endure for those already all in.

It is a view of opportunity as long as we do not get violations, so you can see why it was a little unsettling when the ratio began to waterfall (by the 2 hour chart at top) into what we now assume was a well coordinated hit (in line with the terrible CoT data noted in this space a couple days ago.

It’s all in good fun I suppose. At some point the goons will be behind us, as will this accursed noise about the Fiscal Cliff ™ in which markets are finding the latest emotional obsessions. Indicators like the HGR quietly whir beneath the surface and while it got hairy the other day, it remains unbroken.



Companies Mentionned : Metals X |
<< Previous article
Rate : Average :0 (0 vote)
>> Next article
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
Gold and Silver Update
29 Sepjustatrader
Hi Florian, good analysis. But don't you think have a stop at 1120 would be detrimental to the longer term upside bias? It is a great level of supp...
Congress and the Fed Refuse to L...
29 Sepsonora691
Great idea!! Audit the Fed, and while we're at it, let's get someone to audit the gold vaults in Fort Knox and at the Federal Reserve's gold storag...
In Defense of Gold
29 Sepsonora69
In 1933, President Roosevelt outlawed the ownership or possession of monetary gold by any US individual, partnership, association or corp...
29 Sepsonora69
In 1933, President Roosevelt outlawed the ownership or possession of monetary gold by any US individual, partnership, association or corp...
Gold and Silver Update
28 Sepjustatrader
In hindsight i feel stupid for exiting at 1150 from 1125. I like your bold statement but i think a dip to 1100 is likely... im watching that level ...
BEWARE: What If This Retail Silv...
25 Sepovertheedge
I only gave you three stars and here is why. "However, the important factor to understand is that most investors go after the WELL KNOWN produc...
Gold Daily and Silver Weekly Cha...
25 Sepjustatrader1
Hi Jesee, I came across this site from Zeal LLC and stumbled upon your blog (don't see anywhere to comment so i'm back here). Anyways, just a t...
Bull Trap or Bottom in Gold and ...
24 Sepneville
Just who the hell do think you are byrne....I heard the balderdash you sprouted on the kitco website with that woman cambone.....and it is con...
Most commented articlesFavoritesMore...
World PM Newsflow
Mining Company News
Prb Energy(Oil)PRB
Stock Market Update ...
US$ 24.61+0.07%Trend Power :
Corporate news
Consumers Energy, Grand Valley State University Break Ground on State's Largest Community Solar Project
US$ 35.61+1.95%Trend Power :
Corporate news
Victory Nickel(Ni-Pa)NI.TO
Victory Nickel Granted Extension for Delisting Review by the TSX
CA$ 0.02+0.00%Trend Power :
Corporate news
Piedmont Natural Gas' John Monaghan Awarded N.C.'s Order of the Long Leaf Pine
US$ 40.63+1.52%Trend Power :
Corporate news
Timmins Gold(Au-Ag)TMM.TO
Timmins Gold Reports Small Tear In New Leach Pads
CA$ 0.34+1.47%Trend Power :
Corporate news
National Fuel Gas Co.(Oil)NFG
Winter Heating Season Bills in Western New York will be the Lowest in 14 Years
US$ 51.06+2.37%Trend Power :
Corporate news
Atmos EnergyATO
Zacks Industry Outlook Highlights: Edison International, Atmos Energy, Consolidated Edison and WGL Holdings
US$ 58.93+1.92%Trend Power :
Corporate news
Prb Energy(Oil)PRB
How Does Cantel Medical Compare to Its Peers?
US$ 24.61+0.07%Trend Power :
Corporate news
Prb Energy(Oil)PRB
How Does Costco Compare to Its Peers?
US$ 24.61+0.07%Trend Power :
Corporate news
Victory Nickel(Ni-Pa)NI.TO
TSX Delisting Review - Victory Nickel Inc. (Symbol: NI)
CA$ 0.02+0.00%Trend Power :
Corporate news
Comments closed