30-Year Downtrend Tested — Can Gold Break the Chain?

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🥇 #GOLD/#NIFTY Ratio (Yearly Chart)

📊 What Is the GOLD/NIFTY Ratio?
This ratio tracks how Gold performs vs. Indian equities (NIFTY) over time.

📈 Ratio ⬆️ → Gold outperforming NIFTY
📉 Ratio ⬇️ → NIFTY outperforming Gold

📍 Current Market Setup:
Trading inside a long-term falling channel (35 years) - consistent lower highs & lower lows
Recently made a strong rebound from the lower boundary, but the LH–LL structure remains valid

📈 Trend Insight:
Primary Trend: Long-term downtrend (favoring equities)
⚠️ Short-Term: Momentum turning positive — possible medium-term Gold strength
💡 Still below major resistance, so reversal not yet confirmed

🧭 Possible Scenarios:
Continued bounce → Gold may outperform for a while
Rejection from channel top → NIFTY likely resumes dominance
Neutral for now → Watch for breakout or rejection from top of the falling channel

🏁 Macro Takeaway:
The GOLD/NIFTY ratio sits at a critical long-term zone.
A breakout could mark a major rotation from equities to Gold, while rejection keeps the equity uptrend intact.

Smart investors can use this ratio to balance equity vs. Gold exposure over long cycles. ⚖️

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