Gold, Silver, Copper Daily Forecast: Overbought Metals Eyeing Bearish Correction?

By:

Arslan Ali

Updated: Mar 14, 2024, 06:34 GMT+00:00

Key Points:

Gold prices edge down, maintaining proximity to record highs amid U.S. interest rate speculation.
Copper retreats slightly but remains near 11-month highs on Chinese production cut reports.
Dollar's resilience pressures metal markets as investors await key U.S. economic data.

In this article:

Gold

-1.55%

Silver

-5.70%

Copper

-2.21%

Market Overview

In Asian trading, Gold prices slightly declined, staying near recent record highs with anticipation building for U.S. interest rate clues from forthcoming producer price index and retail sales data.

Copper also saw a downturn yet hovered close to 11-month highs amid reports of Chinese smelter production cuts, suggesting tighter market conditions. The resilience of the dollar ahead of these economic data releases exerted pressure on broader metal markets.

With Gold’s prices briefly touching record levels of around $2,200 an ounce earlier in the week, all eyes are now on the impending economic indicators, potentially influencing the Federal Reserve’s stance on interest rates, particularly ahead of a critical meeting next week.

Gold Prices Forecast

Gold – Chart

Gold is slightly down by 0.09%, trading at $2172.235. The market’s technical structure is anchored by a pivot point at $2176.79. Resistance levels are staged at $2196.38, $2208.45, and $2223.73, setting clear targets for upward movements.

Conversely, support is found at $2155.55, followed by $2142.15 and $2130.66, offering a cushion for price retractions. The 50-day and 200-day Exponential Moving Averages (EMAs) stand at $2145.038 and $2077.876 respectively, indicating a generally bullish trend.

However, the current position below the pivot suggests a bearish outlook, with potential shifts dependent on the breach of pivotal levels.

Silver Prices Forecast

Silver – Chart

Silver’s price nudges up marginally by 0.01%, standing at $25.013. The analysis indicates pivotal technical levels with a current pivot point at $25.17. Resistance levels are identified at $25.37, $25.55, and $25.79, highlighting potential upward price barriers.

Support levels emerge at $24.92, $24.76, and $24.62, which could play a critical role in buffering price declines. The 50-day and 200-day Exponential Moving Averages (EMAs), positioned at $24.12 and $23.36 respectively, suggest an underlying bullish sentiment in the longer term.

However, the immediate trend appears bearish below $25.17, with a transition above this mark potentially signaling a shift to a more bullish outlook.

Copper Prices Forecast

Copper – Chart

During the Asian session, Copper trades at $4.04986, marking a decline of 0.34%. The pivot point at $4.08 is crucial; resistance levels at $4.11, $4.13, and $4.16 define potential upward movement thresholds.

Support is identified at $4.05, with further cushions at $4.02 and $3.99. The 50-day and 200-day Exponential Moving Averages (EMAs), at $3.93 and $3.86 respectively, indicate a prevailing bullish trend over the longer term.

However, the immediate outlook is bearish below the pivot of $4.08, with a break above this point suggesting a shift towards a more bullish sentiment.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Arslan Aliauthor

Arslan is a finance MBA and also holds an MPhil degree in behavioral finance. An expert in financial analysis and investor psychology, Arslan uses his academic background to bring valuable insights about market sentiment and whether instruments are likely to be overbought or oversold.

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