If the relief rally brings the SPX back up to the broken neckline at 1260 as expected, I would also expect the party will have broken the Gold-Silver ratio (GSR) back down below its new found support above the 200 day moving average. This would keep the question asked by yesterday's post in play; could there be another leg to the cyclical bull before flame out?
If however, gold manages to drop less than silver on this stock market rebound and the GSR remains on a breakout by daily chart, it will be a non confirmation of epic proportions against the bulls. That would most likely mean a re-test of the SPX neckline (and those of various other global markets) would be an epic opportunity to get bearish. Like shooting ducks in a barrel even.
I don't expect this dream scenario to come about, but it would be geek heaven for those using the right tools.
Source: https://www.biiwii.blogspot.com
