Below looks at the performance of Silver, Gold and the S&P 500 year to date. Metals and miners are off to a good start in 2017. Even though the stock market has received a good deal of attention this year, metals have done even better. Is the performance in 2017 the start of something even bigger for Silver & Gold?

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It’s been a long time since buy and holders have experienced a bull market in Silver. How long has it been? Silver has created a series of lower highs since 2011. The trend for Silver remains down and now it is being presented with a chance to break this important down trend.

Below looks at the Silver/Gold ratio over the past 10-years. Last summer the ratio hit the top of falling channel (A) and failed to breakout. When this ratio failed to breakout, Gold, Silver and Miners turned weak.

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Over the past 9-months, the ratio has created a series of lower high and higher lows, creating a narrowing pennant pattern, that is nearing completion at (1). The end of this pennant pattern is taking place, with the top of the pattern being the top of the 6-year falling channel.

If the bear market is to end for Silver, keep a very close eye on what takes place at (1). Even though Gold & Silver have done well, miners have done even better.

GDX is nearing falling resistance, similar to the ratio above. If the Silver/Gold ratio would do something it has failed to do for 6-years (breakout), it would send a bullish message to Silver, Gold and Miners.