Daily Gold and Silver Market Analysis- 28 January 2025

28 January 2025
OTC Market Data
High
Low
Close
Previous
Change USD
Change %
Gold
2773
2730
2742
2771
-29.00
-1.05%
Silver
30.65
29.70
30.19
30.60
-0.41%
-1.34%

Today’s analysis offers a detailed examination of the gold and silver markets, highlighting the fundamental and technical factors influencing current trends. Our report is designed to provide investors with the insights necessary to navigate these markets successfully.

Fundamental Analysis

Gold prices are struggling to maintain momentum after bouncing back from a multi-day low. Rising US bond yields are increasing demand for the dollar, putting pressure on the XAU/USD pair. Meanwhile, Trump’s trade tariffs and expectations of a Fed rate cut may provide some support for the precious metal. Market participants are expected to adopt a cautious stance as the Fed begins its two-day monetary policy meeting on Tuesday, with the policy decision and Chairman Jerome Powell’s press conference scheduled for Wednesday. Traders are also looking ahead to mid-tier US Durable Goods Orders and Consumer Confidence data for new trading opportunities.

Gold

Despite the recent pullback, the short-term technical outlook for gold remains positive, even after retreating from near record highs. Gold reached the target set by a symmetrical triangle pattern last Friday but failed to produce a daily candlestick close above it, leading buyers to take a step back. The 14-day Relative Strength Index (RSI) has decreased from the overbought region, indicating that gold may still be a good dip-buying opportunity. The Stochastic Oscillator is currently at 70, while the RSI stands at 60.

Support 3
Support 2
Support 1
Current Market Price
Resistance 1
Resistance 2
Resistance 3
2690
2705
2725
2743
2766
2790
2815

Silver

Silver prices are currently rangebound, with the gold/silver ratio hovering around the 91.00 level. If silver breaks above $30.68, it could advance towards the next resistance level between $30.85 and $31.00. The short-term Stochastic Oscillator is at 50, while the Relative Strength Index (RSI) is at 46.

Support 3
Support 2
Support 1
Current Market Price
Resistance 1
Resistance 2
Resistance 3
30.48
29.71
30.00
30.21
30.42
30.68
30.85

Indicator Definitions

  • Stochastics Oscillator: This indicator measures momentum by comparing a closing price to its price range over a specific period. It indicates overbought conditions when above 80 and oversold conditions when below 20.
  • Relative Strength Index (RSI): The RSI evaluates price changes to identify overbought or oversold conditions. A reading above 70 signifies overbought conditions, while a reading below 30 indicates oversold conditions.
Key US Economic Reports & Events
When
Actual
Expected
Previous
Core Durable Goods Orders m/m
5:30pm
0.3%
0.4%
-0.2%
Durable Goods Orders m/m
5:30pm
-2.2%
0.3%
-1.2%
CB Consumer Confidence
7:00pm
104.1
105.7
104.7
Richmond Manufacturing Index
7:00pm
-4
-13
-10

Conclusion

In the dynamic and intricate world of bullion markets, it is essential to stay informed through both technical and fundamental analysis to make well-informed investment decisions. Our report aims to provide a balanced perspective, helping investors effectively navigate the complexities of gold and silver trading.

Disclaimer This report is intended for informational purposes only and is based on data from reputable sources. It does not constitute investment advice. ISA BULLION makes no guarantees regarding the accuracy or completeness of the report and disclaims any liability for losses that may result from reliance on this information. Users are encouraged to conduct their own research and consult with professional advisors before making investment decisions. ISA BULLION, along with its directors, partners, officers, employees, and agents, expressly disclaims any responsibility for any direct or indirect losses or damages arising from the use or reliance on the information presented herein.