Gold (XAU) Silver (XAG) Daily Forecast: Bulls Struggle – Can Gold Hold $2,740 Support?

Market Overview

Gold prices (XAU/USD) are treading water near $2,740, attempting to halt the previous session’s decline as the US dollar strengthens. The dollar index (DXY) has rebounded from a five-week low, buoyed by renewed inflation concerns following President Donald Trump’s tariff threats.

These concerns also lifted US Treasury bond yields, reinforcing the dollar’s appeal and limiting gold’s upside.

Despite these headwinds, expectations of a Federal Reserve (Fed) rate cut remain intact. Markets anticipate two rate reductions by the end of 2025, with Trump advocating for immediate cuts. If the Fed signals an easing cycle, this could cap bond yields, weakening the dollar and providing support to gold prices.

Silver Faces Pressure, Struggles to Maintain Momentum

Silver (XAG/USD) is trading around $30.06, struggling to sustain momentum amid the resilient US dollar. While silver often mirrors gold’s movements, it remains more vulnerable to shifts in industrial demand.

The uncertainty surrounding tariff hikes on metals—including aluminum and copper—has heightened volatility in commodity markets, further weighing on silver prices.

Additionally, China’s weak economic data, particularly a contraction in manufacturing PMI, has raised concerns over industrial metal demand. If global growth slows, silver could face additional downside pressure.

Short-Term Forecast

Gold (XAU/USD) remains under pressure near $2,740, struggling below key resistance at $2,744.57. While Silver (XAG/USD) is hovering around $30.06, facing resistance at $30.24. A break above this level could push prices toward $30.61, while sustained selling may drive it lower to $29.86.

Gold Prices Forecast: Technical Analysis

Gold (XAU/USD) is trading at $2,740.98, down 0.02%, reflecting cautious sentiment as it struggles below key levels. The price recently broke out of an upward channel, now signaling bearish momentum. Immediate support lies at $2,716.49, with further downside risks toward $2,696.69.

On the upside, the pivot point at $2,744.57 serves as a critical resistance; a decisive break above this could drive bullish sentiment toward $2,762.49 and $2,786.30.

Technically, the 50-day EMA at $2,749.37 and the 200-day EMA at $2,709.18 form crucial levels, with the latter providing solid medium-term support. Traders should watch for a sustained close below the pivot to confirm further bearish action, while a rebound above $2,744.57 may stabilize the outlook.

Silver (XAG/USD) Price Forecast: Technical Outlook

Silver (XAG/USD) is trading at $30.06, down 0.48%, signaling continued pressure following a break below an upward channel. This breakout has turned the channel into resistance, reinforcing a bearish outlook.

The pivot point at $30.24 now acts as a critical level; a sustained move above it could shift momentum to the upside, targeting resistance at $30.61 and $30.95. Conversely, immediate support lies at $29.86, with further declines toward $29.50 if selling pressure persists.

Technical indicators underscore a cautious sentiment, with the 50-day EMA at $30.44 and the 200-day EMA at $30.33 reinforcing overhead resistance. Traders should monitor the $30.24 pivot for directional cues, as a break below support may deepen the bearish trend