Macro Liquidity by Sunil Reddy

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The Chart of the Century: Gold vs Dow
For 100 years, the Gold/Dow ratio has traced an expanding triangle (ABCDE).
We are now in Wave E — the terminal phase.

➡️ Elliott Wave target:
• Gold $20,000–$25,000 base case
• Silver $300–$500 (potentially >$1000 in mania)
• Gold/Dow ratio aiming for 20x from here, possibly retesting Upper trendline or a bit throwover
It seems unbelievable today. Bookmark this , in 10 years you’ll see how obvious it was.

The reset decade has begun. #Gold #Dow #ElliottWave #Reset #Markets #Macro #ChartOfThecentury

Gold/Platinum is collapsing, and Silver may be next to react.

The Gold/Silver ratio has shown a strong correlation with Gold/Platinum, but the latter is now falling sharply while Gold/Silver remains relatively elevated.

This divergence suggests Silver is reacting late to the move already underway in Platinum.

As per this historical correlation , we shall see Silver outperform Gold as the Gold/Silver ratio catches down.

The relative strength in Platinum is an early signal of what's coming for Silver.

Today was the ideal kind of day for gold to trigger a short-covering rally.

But the CPI reaction pushed yields sharply higher, especially at the short end of the curve, while the dollar strengthened.

More importantly, gold failed to reclaim the consolidation zone despite the setup being in place. That tells us bears are still in control for now, and the buying pressure needed to force them out hasn't materialized yet.

However, the move below $4,000 has largely achieved the sentiment reset we were looking for. Much of the speculative positioning has likely been shaken out.

What we could see next is a period of grinding price action around the $4,000 region, allowing the market to absorb the remaining selling pressure before attempting another move higher.

I still believe the conditions for a short-covering rally are developing, but we need price confirmation rather than simply anticipating it.

The setup is there, but the trigger hasn't arrived yet and seems to be taking further time.

Gold's volume profile since October suggests heavy short positioning was built around the $4,130–$4,230 zone, with the Point of Control (POC) near $4,180.

Today's CPI release could be the catalyst that pushes gold above this high-volume resistance zone.

If gold manages to break and sustain above $4,230 expect short covering to accelerate, potentially triggering a much further rally as trapped shorts rush to exit their positions.

The key is not just the initial breakout, but the forced buying that could follow.