Gold, Silver, Copper Daily Forecast: Metal Adjust Before Key Inflation Data

By:

Arslan Ali

Published: Mar 12, 2024, 06:39 GMT+00:00

Key Points:

Gold retreats ahead of U.S. CPI data, testing investor anticipation of Federal Reserve rate cuts.
Silver and platinum prices drop as market awaits key inflation insights, affecting metals' momentum.
Copper sees minor decline amid China's economic stimulus hopes, spotlight on upcoming CPI report.

In this article:

Gold

+0.08%

Silver

+1.16%

Copper

+2.14%

Gold, Silver, and Copper React to Market Forces Ahead of CPI Data

Gold prices dipped in Asian trading, pulling back from their peak as investors await the U.S. CPI report, expected to influence interest rate decisions. The anticipation of rate cuts by June and high safe-haven demand had propelled gold to nearly $2,200 per ounce, but recent caution from the Federal Reserve and ambiguous labor market data have tempered this surge.

Meanwhile, the dollar’s stabilization adds pressure to metal markets. Silver and platinum also saw declines, while copper experienced a slight drop despite positive expectations from China.

Today’s focus is on the CPI data, which may further dictate the metals’ market direction and interest rate expectations.

Gold Prices Forecast

Gold – Chart

Gold‘s performance on March 12th sees a slight retreat, with its price dipping to $2178, a decrement of 0.19%. The four-hour chart analysis delineates a pivot point at $2182.54, serving as the immediate threshold for trend determination.

Resistance levels are pegged at $2196.38, $2214.26, and $2232.38, setting stages for potential upward challenges. Conversely, support is found at $2155.35, $2131.04, and $2110.03, earmarking zones for possible downturn halts.

The 50-day and 200-day Exponential Moving Averages, standing at $2132.92 and $2067.56 respectively, underpin a bullish undercurrent, notwithstanding current pressures. The trend tilts bearish under $2182.54; surpassing this figure may pivot to bullish momentum.

Silver Prices Forecast

Silver – Chart

Silver modestly climbs to $24.48, marking a 0.03% increase. This cautious uptick is framed within a four-hour chart, where a pivot point at $24.54 serves as the critical juncture for its trajectory. Resistance is charted at $24.82, $25.09, and $25.35, potentially capping gains.

Conversely, supports at $24.18, $23.91, and $23.59 offer buffers against declines. The 50-day and 200-day Exponential Moving Averages at $23.88 and $23.23, respectively, suggest underlying bullish momentum.

However, remaining below $24.54 tilts the scale towards bearishness, while crossing this threshold could signal a more pronounced bullish trend.

Copper Prices Forecast

Copper – Chart

Copper‘s price dips to $3.92, a decrease of 0.28%, reflecting cautious market sentiment. The technical analysis on a four-hour timeframe identifies $3.94 as the pivot point, a crucial level determining the metal’s short-term direction.

Resistance levels are pegged at $3.96, $3.97, and $3.99, which could limit upward movement. Support is found at $3.91, $3.88, and $3.86, crucial for preventing further declines.

The 50-day and 200-day Exponential Moving Averages, at $3.89 and $3.85 respectively, underline a potential for bullish momentum should prices eclipse the pivot point. Conversely, remaining below $3.94 signals a bearish outlook, emphasizing the metal’s current indecision.

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.