This article examines the outlook for gold and silver for the coming days, analyzing the fundamental and technical factors that could guide the trajectory of these key precious metals.
Gold and silver have declined over the past couple of weeks as the geopolitical premium built up in both metals after the Hamas terrorist attacks on Israel early last month have started to unwind. This is because the situation in the Middle East, while still tragic, has not degenerated into a wider conflict involving other countries, such as Iran or Lebanon.
Despite recent market dynamics, there are reasons to be optimistic about precious metals. That said, one catalyst that could put upward pressure on theiris the pullback in rates. Last month, the US 10-year yield topped 5.0%, but has since corrected sharply lower, falling below 4.6% today. If this correction accelerates in the near term, the backdrop for both gold and silver would become more constructive.
Gold has seen a modest retreat in recent days after failing to take out resistance in the $2,010/$2,015 range late last month. If losses deepen in the coming trading sessions, support appears at $1,960, followed by $1,945, near the 200-day simple moving average. While there's potential for the metal to find stability in this area before making a comeback, a breakdown could open the door for a move toward $1,920.
Silver sold off on Tuesday, sinking towards confluence support around $22.55, where a medium-term ascending trendline converges with several recent swing lows. Buyers must firmly protect this area to counteract the current selling pressure. Failing to maintain this floor could potentially push prices down to $22.20. In case of continued weakness, the focus shifts to October lows near the $21.00 mark.
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Silver Price Forecast: XAG/USD refreshes weekly low to near $22.50 ahead of Fed speechesSilver price (XAG/USD) prints a fresh weekly low near $22.50 amid caution ahead of speeches from Federal Reserve (Fed) policymakers this week.
Read more »
Gold Price Forecast: $2,000 will be as good as it gets for XAU/USDGold already began crumbling on Friday and the slide continued as the new week of trading got underway.
Read more »
Gold Price Forecast: XAU/USD at risk of extending its near term declineFresh US Dollar demand sent XAU/USD down to $1,956.65 a troy ounce on Tuesday, with the bright metal trading in the red at around $1,965.
Read more »
Gold Price Forecast: XAU/USDA better market mood weighs on safety demand at the beginning of the week, resulting in XAU/USD trading with a softer tone at around $1,983 a troy ounce.
Read more »
Gold Price Forecast: $1980 Support Break Eyed, Do Bears Have the Momentum?Gold consolidates above a key support area as market participants await further clues. DXY remains key as we have a host of Fed Speakers on the docket which could provide some volatility as the week progresses.
Read more »
Gold Price Forecast: XAU/USD dips on risk-on impulse, high US bond yieldsGold price remains offered during Monday’s New York session dropped more than 0.50% after reaching a daily high of $1993.13, and exchanges hands at around $1979.70 due to a risk-on impulse.
Read more »