EXPECT RECOVERY IN PRECIOUS METALS

GOLD/SILVER RATIO TO DROP: BULLISH FOR PRECIOUS METALS

Usually the direction of the GOLD/SILVER ratio is a good indication of how the previous metals should perform...when the ratio is rising then the precious metals are declining and conversely when the ratio is falling, the precious metals are rising...this is because silver usually leads gold up and down. Have a look at the ratio in the daily chart below...it rose from 62.3 to 75.1, almost 21 percent and in the process gold dropped from 1344.7 to 1132.05 (-17%) and silver fell even more from 21.58 to 15.07 (-30%).