2015 draws to a close, so I thought I'd try to emulate GM Jenkins with a few charts for you. I have found a whizzo new (free) charting site recently, which has enabled me to mess around with some very long term charts.
I'll kick off with a recreation of one of GM's that I know has interested a few of our readers, the ratio of the US 10 year treasury yield and silver, and how this signposts big turning points in the price of gold:
|Not long now?|
This next two charts show where the gold price might find its support in the next 3-6 months:
|Andrews Pitchfork starting in 1999|
Here is the same pitchfork extended to a recent date:
|These lines will intersect the gold price sooner or later, and there is also strong lateral support in the $950 to $1,000 range|
|Down to the bottom then back to the top again?|
This would coincide with a global recession and the broad markets entering a deep bear market. Here's a quick look at the crash of 1987:
|Upper and lower trend-lines from the crash of 1987|
|Bubble, what bubble?|
We appear to be heading to an imminent major turning point for many asset classes based on these charts.