Spock was one of the first to call it , well other than Bo Pony . But Bo called it for the last 3 years.

Anyhow…Plunger Posted this at The Chartology Forum :

Kudos to Plunger who called HUI 100 , 2 years before : (Nice to see you Bullish Sir Plunger)

……………………………………………….

We see here how the DOW/Gold ratio over the past 5 years has been in a counter cyclical bull market against the secular trend. Ultimately we should see a final objective of between 0.5 and 3.0 in the ratio. Keep in mind the last two secular bottoms in the ratio were in 1932/3 @ 1.6 and 1980 @ 1.24. Next time is anyones guess, however my range is as depicted 0.5-3.0. That’s a big range but allows lots of gains in the PM sector.

p1

So what we have witnessed over the past 5 years has simply been a mid course correction in the big swing in the Dow Gold ratio. A similar mid course correction occurred in the last cycle from 1974-1976 when the ratio corrected from 5 to 10. Our current cycle corrected from 6 to 16.7 showing that the amplitude is larger this time.
Last time once this correction was over is when gold really got moving. At the end of the correction in 1976 gold went from 104 to 875 when the ratio bottomed going from 10 down to 1.24. So we can only imagine what the gold price could do if the ratio travels from 16.7 to lets say 1.0. It would propel the PM stocks to stunning levels.
DOW Gold Ratio 100 years

p2