Silver remains bullish but is parabolic vs. gold

The silver futures–to–gold futures ratio remains bullish for silver after breaking higher from an 11-year base relative to gold in late December. Over the past two months, silver has gone parabolic versus gold, yet the ratio still shows upside potential toward the 61.8% retracement level near 0.225.

We would begin to grow concerned about the sustainability of this strong trend if the ratio were to form a spike high and silver started trading erratically relative to gold. Notably, prior spike highs in the silver-to-gold ratio occurred in early 1998 and early 2011.

After bottoming in April 2025, silver’s powerful rally versus gold has delivered a clear risk-on signal for the U.S. equity market, consistent with the risk-on indicators highlighted in our January 27 Charted Market Insights report. This constructive signal from silver relative to gold remains firmly intact as we enter 2026.

Chart 1: Silver futures relative to gold futures ratio: Weekly chart