The Silver/Gold ratio remains extremely depressed as nominal silver slips its 50 day moving average

No reversal yet in the Silver/Gold ratio (ref. A Reversal in the Silver/Gold Ratio Would Be the Trigger). In fact, quite the contrary as the ratio looks to start its 5th day fading after a spike last week.

That in itself is not a big deal. It’s a normal consolidation of the spike. But the nominal silver price, which had been conspicuously strong above its SMA 50 (blue) despite the correction in gold and the miners, is slipping said SMA 50 this morning, pre-US open.

If that is an indication of things to come, the sector correction should continue and other areas in commodities/resources could come under renewed pressure.

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