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Gold, Silver, Copper Daily Forecast: Fed Rate Doubts & Dollar Impact, XAU at $2,030
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Amid Fed rate speculation and dollar's dynamics, Gold holds firm at $2,030, signaling a cautious market eyeing U.S. inflation data.
Key Insights
- Gold steadies as dollar’s strength poses challenges; eyes on U.S. inflation data for future direction.
- Silver’s price dip reflects market caution, with pivot point analysis indicating bearish sentiment below key levels.
- Copper faces downward pressure amidst China’s economic uncertainty, highlighting global demand concerns.
Gold prices showed minimal change, finding slight support as the dollar receded from its three-month peak, though the fading anticipation of early U.S. rate cuts clouds the metal’s future.
Amid expectations of enduring high rates fueled by robust U.S. economic indicators and Federal Reserve officials’ firm stances, gold and silver’s appeal is dampened, as high rates elevate the opportunity cost of holding non-yielding bullion.
Despite a modest dollar decline, it maintains its strength in 2024, impacting gold, which steadied at $2,035.12 an ounce. The market now eyes upcoming U.S. inflation data for direction.
Meanwhile, copper prices dipped slightly, influenced by awaiting further economic indicators from China, the leading copper consumer. Concerns over China’s demand have pressured copper, especially after disappointing PMI readings and uncertain post-COVID recovery prospects.
Gold Prices Forecast
Today’s analysis focuses on Silver, with a current price of $22.296, reflecting a downturn of 0.59%. The pivot point for today is established at $22.46582.
Resistance levels are mapped out at $22.71422, $22.88776, and $23.25186, indicating potential ceilings for price movements. Conversely, support levels are found at $22.06120, $21.92746, and $21.74783, suggesting floors that could hold against further declines.
The 50-Day Exponential Moving Average (EMA) stands at $22.54940, while the 200-Day EMA is at $22.80658, suggesting a bearish outlook as long as Silver trades below the pivot point of $22.46582.
Copper Prices Forecast
Copper’s trading dynamics on February 7 show a slight decline, with the price at $3.79314, down by 0.31%. The pivot point is at $3.81727, delineating today’s price threshold.
Resistance levels are identified at $3.85201, $3.87158, and $3.89825, indicating potential barriers to upward movements. Support is found at $3.78375, followed by $3.76172 and $3.73184, marking zones where price declines may halt.
The 50-Day and 200-Day Exponential Moving Averages, at $3.82509 and $3.84145 respectively, suggest a bearish outlook unless Copper surpasses the pivot point of $3.81727.
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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