The gold/bitcoin ratio has fallen off a cliff over the past 5 trading days. Below is a 4-hour chart displaying the breakdown point from support, and a Bollinger band crash with momentum oversold.
Hence the basis for the trade.
Stackers who haven’t pulled the trigger yet; this maybe the extent of dips on the way to the all-time high. Below is the 4-hour gold chart illustrating support, as well as the two last candles which thus far are looking good for bulls in my opinion.
Is this Bitcoin move passing you by? I think prices can drop all the way back down to 31500ish, and the action would still be bullish on a weekly time frame. That said I would be looking to cover any Bitcoin shorts at that level, and possibly preparing to add to a stack.
That upside breach of the 200-week moving average is turning out to be quite significant – and in short order.
Thank you.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
 |
