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Gold (XAU) Silver (XAG) Daily Forecast: Symmetrical Patterns Signal Key Resistance at $2,639.53, $30.14
By:
Key Points:
- Gold (XAU/USD) poised for a 27% annual gain, its best performance since 2010, driven by geopolitical and economic uncertainties.
- Silver (XAG/USD) trades at $29.40, benefiting from safe-haven demand amid heightened global risks and lower bond yields.
- Geopolitical tensions, central bank strategies, and U.S. Treasury yields shape gold and silver's 2025 outlook.
In this article:
Market Overview
Market anticipation around the incoming Trump administration’s trade policies has further fueled uncertainty, with concerns that tariffs could disrupt global trade and bolster demand for gold.
Interest Rate Outlook and Treasury Yields
While gold’s outlook remains strong, the Federal Reserve’s approach to interest rates in 2025 may temper gains. The Fed recently lowered its benchmark rate by 0.25% but signaled a slower pace of future cuts.
Lower yields on U.S. Treasury bonds, with the 2-year yield at 4.32% and the 10-year at 4.62%, still support gold’s appeal as a non-yielding asset.
Silver Tracks Gold’s Performance
Silver (XAG/USD) is also benefiting from safe-haven demand, trading at $29.40 with an intra-day high of $29.48. Often seen as a more accessible alternative to gold, silver continues to draw interest amid heightened economic and geopolitical risks. Lower bond yields further enhance its attractiveness compared to interest-bearing investments.
Broader Market Dynamics
The U.S. Dollar Index (DXY) hovers near 108.00, just below a two-year high, reflecting investor caution. With the Federal Reserve and geopolitical developments shaping market sentiment, gold and silver are likely to remain in focus as traders seek stability in uncertain times.
The combined effects of economic policies, central bank strategies, and global tensions suggest that gold and silver could maintain their momentum into 2025, offering refuge in a volatile market landscape.
Short-Term Forecast
Gold (XAU/USD) remains bearish below $2,626.82, with support at $2,608.24. Silver (XAG/USD) faces pressure near $29.54 pivot; resistance at $30.14 limits upward momentum.
Gold Prices Forecast: Technical Analysis
Gold (XAU/USD) is trading at $2,616.97, down 0.14% in the last session, reflecting a cautious market tone. The pivot point at $2,626.82 serves as a critical juncture—prices below this level indicate a bearish bias, with immediate support at $2,608.24 and stronger protection at $2,587.87. Resistance is seen at $2,639.53, with the next target at $2,658.47 if bullish momentum reemerges.
The 4-hour chart reveals a symmetrical triangle pattern, often signaling a potential breakout. However, the formation of a bearish engulfing candle suggests downward pressure in the near term. Gold is currently below the 50 EMA ($2,624.02) and the 200 EMA ($2,637.10), reinforcing the bearish outlook. Watch for a break above $2,626.82 to shift momentum upward.
Silver (XAG/USD) Price Forecast: Technical Outlook
Silver (XAG/USD) is trading at $29.40, up a modest 0.05% in the latest session, showing cautious sentiment. The pivot point at $29.54 is a critical level to watch—prices below this suggest a bearish outlook, with immediate support at $28.82 and deeper support at $28.42. On the upside, resistance levels lie at $30.14 and $30.73, which could be tested if bullish momentum gains traction.
Silver remains below the 50 EMA ($29.62) and the 200 EMA ($30.20), reinforcing near-term bearish pressure. The 4-hour chart signals potential downside momentum, with a break below $28.82 likely to accelerate selling. However, reclaiming $29.54 could shift momentum upward, making the metal’s next move crucial for traders.
About the Author
Arslan Aliauthor
Arslan, a webinar speaker and derivatives analyst, has an MBA in Finance and MPhil in Behavioral Finance. He guides financial analysis, trading, and cryptocurrency forecasting. Expert in trading psychology and sentiment.
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