The enclosed weekly, longer-term ratio chart represents the relative strength of SPDR Gold Shares (GLD) vs. iShares Silver Trust (SLV). When the ratio is climbing, it tells us that Gold prices are outperforming Silver prices in either direction.
Since April of 2011, when silver's bull-run peaked, it also peaked in relation to the up-move in GOLD. From April 18, 2011 to present, Gold has outperformed Silver in general in both directions. The relative strength chart itself, however, has developed a bullish pattern, and is "warning" us that GOLD is about to accelerate in a BIG way in relation to the price action expected in Silver.
If my work proves accurate, then the ratio of spot Gold to spot Silver is about to accelerate above the prior ratio high at 56.22 to 1 from last January, into a new up-leg that could propel the ratio to 75 to 1 relatively quickly.
When I dovetail this ratio chart, with the big-picture cycle work, I come to the conclusion that spot Gold could be on the verge a powerful new up-leg, while Silver prices "unenthusiastically" will follow, but lag far behind.