Context:
For more than three years, the Gold/Silver ratio traded within a predictable range between approximately 79 and 92. This provided consistent opportunities to rotate between metals: buying Gold when the ratio approached the bottom of the range, and favoring Silver when Gold became relatively expensive near the top.
Breakout and Failure:
In March 2025, the ratio broke out sharply above the 92 ceiling, reaching above 105 for the first time in years. This breakout was driven by macro uncertainty and a surge in demand for Gold as a safe haven. However, the move quickly lost momentum. As risk appetite returned and macro concerns faded, the ratio dropped aggressively, falling back below the former breakout zone.
Current Setup:
Price is now testing the 90–92 region — the same area that acted as resistance for years. This zone is now functioning as key structural support. Its behavior here could determine the next major leg.
Trading Outlook:
If the ratio holds above 90, Gold may continue to outperform Silver, possibly establishing a new higher range between 90 and 105. However, a decisive break below 90 would indicate a failed breakout and may favor Silver strength, with downside potential back toward the 80–85 area.
Conclusion:
This is a technically critical zone. A confirmed hold or breakdown from here could define the next multi-week trend in the precious metals space.
For more than three years, the Gold/Silver ratio traded within a predictable range between approximately 79 and 92. This provided consistent opportunities to rotate between metals: buying Gold when the ratio approached the bottom of the range, and favoring Silver when Gold became relatively expensive near the top.
Breakout and Failure:
In March 2025, the ratio broke out sharply above the 92 ceiling, reaching above 105 for the first time in years. This breakout was driven by macro uncertainty and a surge in demand for Gold as a safe haven. However, the move quickly lost momentum. As risk appetite returned and macro concerns faded, the ratio dropped aggressively, falling back below the former breakout zone.
Current Setup:
Price is now testing the 90–92 region — the same area that acted as resistance for years. This zone is now functioning as key structural support. Its behavior here could determine the next major leg.
Trading Outlook:
If the ratio holds above 90, Gold may continue to outperform Silver, possibly establishing a new higher range between 90 and 105. However, a decisive break below 90 would indicate a failed breakout and may favor Silver strength, with downside potential back toward the 80–85 area.
Conclusion:
This is a technically critical zone. A confirmed hold or breakdown from here could define the next multi-week trend in the precious metals space.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.