Comments on: Timing Gold Stocks Using the k-Ratio http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html Freshly squeezed market commentary & analysis Sun, 08 Nov 2009 04:49:28 +0000 http://wordpress.org/?v=2.0.2 by: Babak http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-38647 Tue, 28 Apr 2009 04:58:20 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-38647 rob, it would be useful to link to the article so I know exactly what it refers to. The k-ratio is calculated using the GMI and HH gold prices. Both are available from Barron's. Right now they are: 770.44/907.5 = .85 - not far off the 0.90 you mentioned. As I mentioned above, I use a shorthand to approximate the k-ratio by looking at the London fix and the HUI. Right now that is 0.35 - basically where it was in late 2002 and early 2003 (as you can see above). rob, it would be useful to link to the article so I know exactly what it refers to. The k-ratio is calculated using the GMI and HH gold prices. Both are available from Barron’s. Right now they are: 770.44/907.5 = .85 - not far off the 0.90 you mentioned.

As I mentioned above, I use a shorthand to approximate the k-ratio by looking at the London fix and the HUI. Right now that is 0.35 - basically where it was in late 2002 and early 2003 (as you can see above).

]]> by: rob lane http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-38626 Sun, 26 Apr 2009 04:27:01 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-38626 I just saw that new article posted that says K-ratio is now at 90.How reliable is it?Rob Lane,SF,Ca I just saw that new article posted that says K-ratio is now at 90.How reliable is it?Rob Lane,SF,Ca

]]> by: Follow Up On December Gold Comments http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-31362 Fri, 22 Feb 2008 05:23:20 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-31362 [...] I think my mistake was that I used the k-ratio’s valuation message to mean that gold’s trend couldn’t continue. Boy have I been schooled. The valuation is still high - historically - but that doesn’t mean that a trend can’t continue. The k-ratio is an amazing tool but it is really useful in giving you the really big picture. For anything more granular it falls apart. [...] […] I think my mistake was that I used the k-ratio’s valuation message to mean that gold’s trend couldn’t continue. Boy have I been schooled. The valuation is still high - historically - but that doesn’t mean that a trend can’t continue. The k-ratio is an amazing tool but it is really useful in giving you the really big picture. For anything more granular it falls apart. […]

]]> by: Secular Gold Bull Market Finished? http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-9642 Sat, 21 Jul 2007 02:41:49 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-9642 [...] As I ponder the dollar reaching its long term support levels, I can’t help but wonder how things look for gold stocks long term. My favourite indicator for the precious metals sector is the k-ratio. [...] […] As I ponder the dollar reaching its long term support levels, I can’t help but wonder how things look for gold stocks long term. My favourite indicator for the precious metals sector is the k-ratio. […]

]]> by: Gold Stocks: Technical Cross Currents http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-6111 Thu, 03 May 2007 02:15:55 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-6111 [...] Even with the statistics, I’m a bit skeptical of the validity of using the Philli index (XAU) since it is not a pure gold index. No real gold bug uses this index but rather the Gold Bugs Index (HUI) or the CBOE Gold Index (GOX). And if we go by those indexes, the k-ratio level right now doesn’t look so promising. [...] […] Even with the statistics, I’m a bit skeptical of the validity of using the Philli index (XAU) since it is not a pure gold index. No real gold bug uses this index but rather the Gold Bugs Index (HUI) or the CBOE Gold Index (GOX). And if we go by those indexes, the k-ratio level right now doesn’t look so promising. […]

]]> by: Bearish on Gold Stocks: HUI and Gold Futures http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-5802 Thu, 26 Apr 2007 00:49:46 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-5802 [...] If we combine the two graphs we get the k-ratio (not shown). And it is telling us the same story. Not a good time to be in the gold market. The breadth of the sector also confirms this with 60% of gold stocks being above their 200 day moving average. The best thing we can look forward to is more meandering. [...] […] If we combine the two graphs we get the k-ratio (not shown). And it is telling us the same story. Not a good time to be in the gold market. The breadth of the sector also confirms this with 60% of gold stocks being above their 200 day moving average. The best thing we can look forward to is more meandering. […]

]]> by: Sentiment on Inflation at Trader’s Narrative http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-60 Fri, 26 May 2006 21:44:02 +0000 http://www.tradersnarrative.com/timing-gold-stocks-using-the-k-ratio-96.html#comment-60 [...] The sentiment on inflation also dovetails nicely with something else which has already started to play out: the weakness in gold stocks. According to the k-ratio, gold stocks were rather stretched and were headed for a tumble. Since I wrote about it, the Amex Gold Bugs Index has fallen from 387 to less than 340. [...] […] The sentiment on inflation also dovetails nicely with something else which has already started to play out: the weakness in gold stocks. According to the k-ratio, gold stocks were rather stretched and were headed for a tumble. Since I wrote about it, the Amex Gold Bugs Index has fallen from 387 to less than 340. […]

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