Gold/Platinum Ratio - An opportunity?

Date: 10th April,2017 by Timothy Straiton
Thanks to our donors, is able to deliver quality investment advice, market analysis and technical trading guidelines and general information of use to investors and traders on a regular basis.

Current level is 1.3237, close to the all time high of 1.3623 and above the 40 week moving average of 1.26. The platinum price is just another example of exaggerated market behaviour and could well be a buying opportunity for the astute investor. When one looks back at the ratio in the year 2008 where it traded at the 0.42 level, it becomes apparent how distorted this market has become. We feel a downside target of 1.00 (parity) to be a reasonable short-term target which coincides with the Fibonacci 38.2% retracement level measured from the high of 1.3623 made in October 2016 to the low of 0.4262 made in May 2008.

The above represents the opinion and analysis of Mr Timothy Straiton, based on data available to him, at the time of writing. Mr.Straiton's opinions are his own, and are not a recommendation or an offer to buy or sell securities. Mr.Straiton is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations mentioned in his reports. As trading and investing in any financial markets may involve serious risk of loss, Mr.Straiton recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified market analyst with over 30 years experience, Mr.Straiton is not a Registered Securities Advisor. Therefore Mr.Straiton's opinions on the market and stocks can only be construed as a solicitation to buy and sell securities when they are subject to the prior approval and endorsement of a Registered Securities Advisor operating in accordance with the appropriate regulations in your area of jurisdiction.