Daily Gold and Silver Market Analysis- 30 January 2025

30 January 2025
OTC Market Data
High
Low
Close
Previous
Change USD
Change %
Gold
2766
2744
2760
2763
-3.00
-0.11%
Silver
31.00
30.27
30.87
30.39
+0.48
-1.58%

Today’s analysis offers a comprehensive overview of the gold and silver markets, providing insights into the fundamental and technical factors shaping current trends. Our report is designed to equip investors with the knowledge necessary for effective navigation of these markets.

 

Fundamental Analysis

Gold prices are continuing their consolidative movement within the weekly trading range. The Fed’s hawkish pause presents a headwind for this non-yielding asset. Meanwhile, declining US bond yields have put pressure on USD bulls, providing some support for gold. The Federal Reserve maintained the benchmark policy rate in the 4.25%-4.50% target range but adjusted the language in its policy statement to reflect a slightly more hawkish stance. Notably, the Fed removed the earlier wording indicating that inflation “has made progress” towards the 2% target, instead stating that the pace of price increases “remains elevated.” Additionally, during his post-policy press conference, Fed Chairman Jerome Powell emphasized the need for further progress on inflation and indicated that the Fed does not feel rushed to make adjustments.

Gold Outlook

The technical setup on the daily chart continues to favor gold, suggesting a “buy-the-dips” approach. The 14-day Relative Strength Index (RSI) remains comfortably above the midpoint, which keeps gold buyers optimistic. Supporting the bullish outlook, the 50-day moving average (MA) is positioned above the 100-day MA, confirming a Bull Cross. For a fresh uptrend to initiate, gold prices need to close above the record high of $2,790. Key upside targets are set at $2,815 and the psychological level of $2,833. On the downside, immediate support is identified at $2,743, with sellers potentially targeting the round number of $2,700. Currently, the Stochastic Oscillator is at 81, and the Relative Strength Index is at 63.

 

Support 3
Support 2
Support 1
Current Market Price
Resistance 1
Resistance 2
Resistance 3
2700
2725
2743
2762
2790
2815
2833

Silver Outlook

Silver reached an intraday high of $31.00 as the gold/silver ratio fell below the key psychological level of 90. If silver can maintain a position above $31.00, it may test resistance levels at $31.29 to $31.66. Currently, the short-term Stochastic Oscillator is at 82, while the Relative Strength Index (RSI) stands at 55.

Support 3
Support 2
Support 1
Current Market Price
Resistance 1
Resistance 2
Resistance 3
30.21
30.42
30.68
30.85
31.00
31.29
31.66

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
Advance GDP q/q
5:30pm
2.3%
2.7%
3.1%
Unemployment Claims
5:30pm
207K
224K
223K
Advance GDP Price Index q/q
5:30pm
2.2%
2.5%
1.9%
ECB Press Conference (*EU)
5:45pm
NA
NA
NA
Pending Home Sales m/m
7:00pm
-5.5%
0.0%
2.2%

Conclusion

In the intricate and dynamic world of bullion markets, staying informed through both technical and fundamental analysis is essential for making informed investment decisions. Our report aims to provide a balanced perspective to help investors navigate the complexities of gold and silver trading effectively.

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.