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Gold, Silver, Copper Daily Forecast: Metals Dip Amid Hawkish Fed and China’s Growth Slowdown
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In the wake of the Fed's hawkish stance, gold loses its luster while the dollar gains ground, reshaping metal markets.
Key Insights
- Gold prices dip as Fed signals delay in interest rate cuts, dollar strengthens.
- Copper hits one-month low amid China’s slow growth, impacts global metal markets.
- Anticipation high for U.S. industrial and retail data, could pivot future rate decisions.
Quick Fundamental Outlook
At the same time, copper prices dropped to near a one-month low because of slow economic growth in China, a key buyer. The cautious views of Fed Governor Christopher Waller about lowering interest rates and the strong U.S. economy pushed the dollar to its highest in a month. This increase in the dollar’s value made gold less attractive.
Now, markets are waiting for new data on U.S. industrial production and retail sales, which could affect decisions on interest rates.
Gold Prices Forecast
Gold’s price on January 17 is slightly down, trading at $2,026.06, a 0.12% decrease within a 24-hour frame. On the 4-hour chart, the precious metal faces resistance at $2,042.96, with subsequent barriers at $2,058.20 and $2,070.88.
Immediate support is at $2,013.71, with additional cushions at $1,997.31 and $1,976.15. The 50-day Exponential Moving Average (EMA) is currently at $2,038.98, while the 200-day EMA is at $2,030.48, indicating potential resistance and support levels respectively.
The symmetrical triangle pattern offers support for gold around the $2,020 area, yet a bullish rebound above this level, challenging the $2,033 pivot, could prompt selling pressure below it.
Silver Prices Forecast
On January 17, Silver is experiencing a slight downturn, trading at $22.84, down by 0.36%. The 4-hour chart indicates a pivot point at $23.046, with immediate resistance at $23.362. Further resistance is seen at $23.730 and $24.088. Support levels are identified at $22.504, followed by $22.181 and $21.797.
The 50-Day Exponential Moving Average (EMA) is positioned at $23.095, and the 200-Day EMA at $23.460, both suggesting resistance zones. On this timeframe, Silver has developed a descending triangle pattern, signaling potential selling pressure around the $23.10 level.
A key level to watch is the double bottom around $22.50; breaking below this could indicate a continuation of the downtrend. Overall, the trend for Silver is bearish below $23.046, and the short-term forecast anticipates testing resistance levels if it manages to rise above this pivot.
Copper Prices Forecast
On January 17, Copper is showing a decline, currently trading at 3.76018, down by 0.51%. The 4-hour chart reveals a pivot point at $3.77298. Immediate resistance levels are at $3.80209, $3.83422, and $3.87282. Support is found at $3.74769, followed by $3.71929 and $3.69690.
The 50-Day Exponential Moving Average (EMA) stands at $3.80274, while the 200-Day EMA is at $3.82500, both indicating potential resistance areas. The chart displays a downward channel pattern, suggesting a continued downtrend with resistance near $3.7729 and support around $3.7192.
The overall trend for Copper appears bearish below $3.77298. In the short term, if Copper moves above this pivot point, it may test its resistance levels; otherwise, the downward trend is expected to persist.
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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