Dow/Gold Ratio Trend Change
By GCRU Gold News on Friday, August 8 2014, 07:55 - Permalink
It is interesting to see gold rising while the global sharemarkets decline.
Global SharemarketsWe can measure these moves with the Dow/Gold Ratio. Looking at the short term we see a trend reversal with a breaking of the wedge formation.
Looking at the larger picture it appears that we are at the same place as the trend reversal in 1975.
Perhaps now we will see a new market where gold doesn't get sold off on market declines but rather Gresham's Law comes into effect as the world's investors seek gold's safe haven status.