Gold outshines Silver

Gold/Silver ratio

Gold, since breaking out a year ago from its multi-year range, has been in a solid uptrend — turbocharged recently by a global rush for safety. This surge has propelled it above the $3,000 mark and into new all-time highs. Silver, however, hasn’t shared the spotlight. Despite often being considered a higher-beta play on gold, the white metal has struggled to keep pace.

So, will silver pick up the baton and follow gold higher anytime soon?

Looking at the Gold/Silver ratio, the answer appears to be: not just yet.

This ratio, which had been stuck in a wide rectangular range for the past two years, has now broken decisively to the upside — blasting through its August 2022 peak. The measured objective from this breakout points toward 107.56. Given the size and duration of the consolidation base, this breakout suggests that gold’s outperformance over silver may persist for some time yet.