Why Silver Over Gold? [Aug 20, 2011 - 05:05 AM, by Mike Paulenoff]

During the last few sessions, my intraday gold/silver ratio work has been warning me that the recent leadership role of gold's upside acceleration might undergo a change. No, not that gold will reverse, but more than likely silver will begin to outperform gold again on the upside.


Again? Yes, remember that for 9-month period between July 2010 and April 2011, silver prices rocketed while gold prices climbed at a much more subdued rate of change.


My near- and intermediate-term ratio work is suggesting that the May-Aug gold leadership role is at or nearing completion, and that in the hours and days directly ahead, silver prices will begin to "out-accelerate" gold on the upside and show increasing resilience during periods of weakness.

The fact that silver prices hurdled their Apr-Aug resistance line this morning supports the unfolding leadership change.

Read more @ ORIGINAL SOURCE