Your big picture LT video sessions are really excellent & getting even more sharper by the week....... Just one query: where can I find the Dow/Gold ratio index in your chart library ?

Eoin Treacy's view

Thank you for your kind words and I’m delighted you are enjoying the video commentaries. The reason I used the Bloomberg chart in the video is because they have gold prices going back as far as 1900. Unfortunately they do not supply us with the same data which means out ratio can only go back to the late 1970s. 

To create ratio in the Chart Library:
Select the Dow Jones industrials Average from the Chart Library search. 
Click on the Charting button on the same ribbon
From the Relative dropdown select Gold CMX (cont 2nd mth)

Nevertheless the lesson to be gained from the ratio is the same. Big bull markets in equities follow major peaks in precious metals prices and vice versa. The ratio contract from a major peak to a major trough between 1999 and 2011 and that downtrend has been broken. If the trend higher persists in as orderly a manner as has happened on previous occasions over the last century then the next major peak in the ratio will be above 45 times the price of gold and probably sometime in the 2030s.