Eseandre Mordi
⬤ The XAU/XAG ratio is dropping rapidly toward long-term support between 57 and 62—a zone that's historically triggered major shifts in how gold and silver perform relative to each other. Technical charts show the ratio falling sharply toward this structural band, suggesting a counter-trend bounce could materialize once it hits this level.
⬤ Several silver price scenarios emerge if gold reaches $4,500. At a ratio of 62, silver would trade around $72. A ratio of 60 puts silver at $75, while a deeper compression to 57 points to silver near $78. Long-term trendlines converge near the lower bound of this support area, reinforcing why these levels matter.
⬤ Silver could push toward $75 before hitting a pause or consolidation phase. While a correction is expected after that point, its timing and magnitude remain uncertain. The ratio has fallen from peaks above 100, marking a clear shift in momentum favoring silver across the precious metals space.
⬤ Major swings in the gold-to-silver ratio typically signal broader sentiment shifts and repositioning within metals markets. A reaction from the 57-62 zone could reshape how traders value XAU versus XAG and redirect capital flows. These scenarios provide a useful framework for understanding silver's potential trajectory as gold advances toward higher price targets.
Eseandre Mordi
