Gold, Silver, Platinum – Silver Reaches New Heights As Dollar Retreats

Key Insights

• Gold tested resistance at $2025.
• Silver made an attempt to settle above the $25.60 level. 
• Platinum rebounded towards the $1030 level. 

Gold

Gold tested the $2025 level after the release of U.S. inflation data but lost momentum and pulled back towards the $2010 level. Core Inflation Rate grew from 5.5% in February to 5.6% in March, and traders expect that Fed will raise the federal funds rate by 25 bps at the next meeting in May.

If gold climbs back above the $2010 level, it will get to the test of the resistance at $2025. A move above the $2025 level will open the way to the test of the next resistance at $2050.

R1:$2010 – R2:$2025 – R3:$2050

S1:$2000 – S2:$1980 – S3:$1960

Silver

Silver tested new highs as traders focused on U.S. dollar’s pullback. In addition, it looks that traders expect that the recovery of the Chinese economy will lead to rising industrial demand for silver.

In case silver settles above the $25.30 level, it will head towards the resistance at $25.60. A successful test of the resistance at $25.60 will open the way to the test of the next resistance level at $25.80.

R1:$25.30 – R2:$25.60 – R3:$25.80

S1:$25.00 – S2:$24.65 – S3:$24.50

Platinum

Platinum moved back towards the $1030 level amid a broad rebound in precious metals markets, which was triggered by U.S. dollar’s pullback.

If platinum settles above the resistance at $1030, it will head towards the next resistance level at $1050. On the support side, a successful test of the $1000 level will push platinum towards the support at $985.

R1:$1030 – R2:$1050 – R3:$1065

S1:$1000 – S2:$985 – S3:$965

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