Gold, Silver, Copper Daily Forecast: Metals React to Fed’s Rate Path; Buy Today?

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Updated: Mar 15, 2024, 06:41 GMT+00:00

Amid rising inflation concerns and a vigilant Federal Reserve, gold's cautious stance reflects investor anticipation of interest rate decisions.

In this article:

Gold

+1.29%

Silver

+0.94%

Copper

+2.25%

Market Overview

Amidst a climate of stronger-than-anticipated inflation data, gold prices saw minimal movement, hinting at investor wariness ahead of a Federal Reserve meeting poised to address interest rate trajectories.

Contrary to gold’s subdued reaction, copper prices leaped to an 11-month peak, driven by fears of a significant supply crunch in China, underscoring a 1.5% surge to cross the $9,000 per ton mark.

The strengthened dollar further exerted pressure on gold, diminishing its allure against a backdrop of potential hawkish Fed signals and persistent inflation concerns.

Gold Prices Forecast

Gold – Chart

Gold (XAU/USD) nudged upwards by 0.13%, trading at $2164.705. This slight increase places the precious metal just below its pivotal mark of $2176.79. Looking ahead, resistance levels are observed at $2196.38, $2208.45, and $2223.73, challenging the metal’s upward trajectory.

Support, crucial for sustaining current levels, is firmly established at $2155.55, with subsequent floors at $2142.15 and $2130.66. The 50-day and 200-day Exponential Moving Averages (EMAs) at $2148.94 and $2082.86, respectively, signal a robust underlying trend.

The technical analysis suggests a bullish outlook for Gold above $2155.55, while a dip below this threshold could herald a trend reversal, highlighting the potential for both growth and volatility in the market.

Silver Prices Forecast

Silver – Chart

Silver’s saw a notable increase, climbing 0.78% to trading at $25.006. This positive movement positions Silver just above its pivot point of $24.88, suggesting potential for further gains. The metal now faces immediate resistance at $25.08, with subsequent levels at $25.29 and $25.48 that may test its ascending trend.

Conversely, support is established at $24.73, with deeper levels at $24.57 and $24.45, ready to underpin any retracements. The 50-day and 200-day Exponential Moving Averages (EMAs) at $24.29 and $23.45, respectively, underscore a solid upward momentum.

The technical outlook for Silver remains bullish above the pivot point of $24.88, indicating room for growth, while a descent below this threshold could signal a reversal, calling for cautious optimism in the market.

Copper Prices Forecast

Copper – Chart

Copper experienced a notable increase, rising by 0.99% to reach $4.09, showcasing a vibrant momentum in the commodities market. Positioned slightly above its pivot point at $4.08, Copper is hinting at sustained bullish potential.

Resistance is encountered at $4.11, with further ceilings at $4.13 and $4.16, potentially limiting upward movement. Support levels are firmly placed at $4.05, extending down to $4.02 and $3.99, serving as critical junctures to fend off any bearish trends.

The 50-day and 200-day Exponential Moving Averages (EMAs), at $3.96 and $3.88 respectively, provide a strong foundation, indicating an underlying bullish trend. The current technical outlook for Copper remains optimistic above the $4.08 threshold, suggesting room for further growth, while a dip below this marker may signal a need for caution among traders.

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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.