Gold, Silver, Copper Daily Forecast: Will an Upward Trendline Boost XAU/USD Buying?

By:

Arslan Ali

Published: Mar 25, 2024, 06:27 GMT+00:00

Key Points:

Gold's cautious rise to $2169.73 suggests investors are weighing dollar strength against inflation data.
Silver's slight dip to $24.69 reflects market indecision, with eyes on pivotal $24.82 support.
Copper rebounds to $4.045, showing resilience amidst global supply concerns and demand optimism.

In this article:

Gold

-0.68%

Silver

-0.96%

Copper

+0.51%

Market Overview

In Asian trading on Monday, gold prices saw a slight increase but remained significantly lower than the record highs seen previously, primarily due to the enduring strength of the U.S. dollar. The anticipation surrounding U.S. inflation data and potential interest rate adjustments continues to favor the dollar, overshadowing metals.

Despite this, metals managed to recoup some losses from Friday’s sharp decline. Gold, particularly, experienced a steep fall from its peak levels last week, affected by dovish stances from various central banks and a surge in dollar value, highlighting a shift towards the dollar amidst the quest for safe, yield-bearing assets. Copper prices witnessed a rebound on Monday, although the highs of the past 11 months were still out of reach.

Gold Prices Forecast

Gold – Chart

Gold modestly ascended to $2169.73, marking a 0.14% uptick as investors navigate through mixed market signals. The metal’s trading dynamics hover around a pivotal $2165.81, suggesting a delicate balance between bullish momentum and potential corrections.

Notable resistance lies ahead at $2185.16, $2196.73, and $2211.83, setting clear benchmarks for further gains. Conversely, support levels at $2149.29, $2134.65, and $2120.02 offer a buffer against downward movements.

Technical indicators, with the 50 EMA at $2165.48 closely aligned with the pivot, and the 200 EMA at $2109.30, underline a fundamentally bullish outlook, albeit with caution against breaking below the pivotal support, which could herald a trend reversal.

Silver Prices Forecast

Silver – Chart

Silver nudged down to $24.69, reflecting a slight decline of 0.07% as it navigates uncertain market sentiment. The metal’s performance hovers near a critical pivot at $24.82, indicating a tug-of-war between potential gains and resistance. Key resistance levels are staged at $25.26, $25.78, and $26.15, marking thresholds for bullish advances.

Conversely, support levels at $24.08, $23.60, and $23.23 provide safety nets against further declines. The proximity of the 50 EMA at $24.79 to the current price suggests a near-term bearish sentiment, while the 200 EMA at $23.92 offers a broader perspective of underlying strength.

The trend appears bearish below $24.82, yet surpassing this pivot could tilt the balance towards a bullish outlook.

Copper Prices Forecast

Copper – Chart

Copper‘s price sees a notable uptick, trading at $4.045, up by 0.87%, reflecting increased investor interest. The metal’s trajectory is underpinned by a pivot at $4.05, with resistance awaiting at $4.13, $4.17, and $4.21. These levels suggest potential headway for further gains.

Conversely, support at $4.00, $3.95, and $3.89 provides a buffer against declines. Technical indicators, including a 50-Day EMA of $4.04 and a 200-Day EMA of $3.94, align closely with current prices, indicating a bullish momentum sustained above $4.00.

A breach below this foundational level, however, could precipitate a downturn, underscoring the metal’s current positive outlook yet hinting at underlying volatility.

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.

Did you find this article useful?