ISA Bullion Gold Report – 26 June 2024

Market Overview

Today’s analysis provides a detailed examination of the gold and silver markets, offering insights into the fundamental and technical factors driving current trends. Our report aims to equip investors with the insights needed to navigate these markets effectively.

Fundamental Analysis

Gold price is building on Tuesday’s decline, hitting a fresh weekly low near $2,310 in Asian trading on Wednesday. The sustained US Dollar strength alongside firmer US Treasury bond yields fuels additional downside in Gold prices, as traders brace for a data-light US economic calendar later on Wednesday.

Gold:

• Prices can weaken further below the $2,300 mark and retest the monthly swing low, around the $2,286 region. Some follow-through selling will reaffirm the negative bias and expose the 100-day MA support near the $2,253 area. Any meaningful positive move now seems to confront stiff resistance near the 50-day MA, currently near the $2,333 region, ahead of Friday’s swing high, around the $2,369 zone. Sustained strength beyond the latter could lift the Gold price towards the $2,387-$2,388 intermediate hurdle en route to the $2,400 round-figure mark. The short-term Stochastics Oscillator is at 35, and the Relative Strength Index (RSI) is at 44.

Silver:

• Silver declined on Tuesday, but with control as buyers continue to emerge on dips. The uptrend remains intact despite increased volatility. Stabilization is evident, which is a positive sign for silver. The short-term Stochastics Oscillator is at 27, and the Relative Strength Index (RSI) is at 44.