Gold (XAU) Silver (XAG) Daily Forecast: Will Gold Break Above $2,782 This Week?

Market Overview

Gold (XAU/USD) remains in a consolidation phase, trading near $2,760, as investors weigh the impact of Federal Reserve policy signals and trade uncertainty. A drop in U.S. Treasury yields has provided mild support, but gold remains capped by a stronger U.S. dollar and cautious market sentiment.

The 10-year U.S. Treasury yield has struggled to gain momentum, currently hovering near 4.12%, reflecting growing expectations that the Fed may hold rates steady for longer. While lower interest rates make non-yielding assets like gold more attractive, Fed Chair Jerome Powell’s recent comments have dampened expectations of an imminent rate cut. Powell emphasized that any easing will depend on inflation and job market data, rather than external political factors.

Investors are also closely watching U.S. trade policy developments, particularly potential tariffs that could affect global growth. Protectionist policies have historically driven demand for gold as a safe-haven asset, with concerns about economic fallout pushing investors toward bullion.

Silver Holds Above $30.80 as Dollar Strength Pressures Prices

Silver (XAG/USD) is trading around $30.86, having touched an intra-day low of $30.80, as U.S. dollar strength limits upside potential. The Federal Reserve’s decision to keep rates unchanged has reinforced support for the dollar, making silver less attractive in the short term.

Despite this, silver remains in demand amid trade uncertainties and potential economic slowdowns in key manufacturing regions. With industrial demand playing a significant role in silver’s valuation, market participants are monitoring global production trends and supply chain disruptions for clues on future price action.

Upcoming Data Could Drive Precious Metal Volatility

Traders are now looking ahead to Thursday’s European Central Bank (ECB) policy decision, which could impact global risk sentiment. Additionally, Friday’s U.S. Personal Consumption Expenditures (PCE) Price Index, a key Fed inflation gauge, will be crucial in determining the next move for gold and silver.

With uncertainty surrounding interest rates, trade policies, and global growth, gold and silver prices are likely to remain sensitive to economic data and policy shifts in the coming weeks.

Short-Term Forecast

Gold remains in a consolidation phase, holding above $2,752. A breakout above $2,782 could trigger further upside, while failure to hold support may lead to a decline toward $2,717. Silver faces resistance at $30.98, with a triple top pattern potentially capping gains. A breakout could push prices toward $31.25, while failure to hold $30.61 may drive a pullback.

Gold Prices Forecast: Technical Analysis

Gold (XAU/USD) is trading at $2,760, up 0.02%, as it clings to support near $2,752.37, its key pivot level. The 50-day EMA at $2,754.84 is reinforcing short-term bullish sentiment, while the 200-day EMA at $2,719.70 signals a broader uptrend.

A break above $2,782.87 could open the door for a test of $2,800.63, with further upside potential if momentum builds. However, failure to hold above $2,752.37 may trigger selling pressure, exposing support at $2,733.42, with $2,717.11 as a critical downside level. An upward trendline continues to support buying interest, keeping the bullish outlook intact.

Silver (XAG/USD) Price Forecast: Technical Outlook

Silver (XAG/USD) is trading at $30.86, up 0.08%, as it hovers just below key resistance at $30.98. The metal remains bullish above $30.61, supported by the 50-day EMA at $30.52 and the 200-day EMA at $30.37. However, a triple top pattern near resistance could cap gains unless buyers push through with strong momentum.

If silver breaks above $30.98, it could target the next resistance at $31.25, signaling further upside. On the downside, immediate support lies at $30.34, with a break lower exposing $29.98, a key psychological level.

For now, silver remains in an uptrend, but traders should watch for rejection near $30.98, which could trigger a short-term pullback.