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Gold is currently up more than 30% year-to-date while the S&P 500 is up more than 20% at the same time. If both are able to hold onto their gains into year-end, it will be the first time that has happened since 1976 when we were fully off the gold standard.
Gold has been flying, and it’s not surprising from a technical perspective. If you’ve been reading our work for awhile now, you’ll remember that we discussed the decade-long cup and handle formation for the gold ETF () a number of times in recent years, and the yellow metal is now finally breaking out higher from that formation. The longer the cup and handle, the bigger and longer the break higher when it finally comes, so technicians are likely expecting even more gains for gold going forward.The chart below will now always be one for the textbooks!(Click on image to enlarge)
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