Gold Technical Report: Gold declined on Friday from the intra day highs near 50 Days Moving Average @ 1967 and closed on the support at 10 DMA @ 1960. Now, next support is at 100 DMA@ 1938. Long term trend is showing up as the prices and all these averages are trading above 200 DMA @ 1867. The short term Stochastics Oscillator is at 46 (it is considered overbought when above 80 and oversold when below 20) and Relative Strength Index (RSI) is at 49 (it is considered overbought when above 70 and oversold when below 30).
Silver Technical Report: The silver prices registered a red doji candle on the last day of the week. The prices are trading above 50 DMA @ 23.89 and 100 DMA@ 23.49. The medium term trend looks intact as all of these averages are above 200 DMA @ 22.39. The Short term Stochastics Oscillator is at 81 and Relative Strength Index near 54.
Fundamental Report: Investors are closely monitoring the upcoming U.S. consumer price index and producer price index data, scheduled for release on Tuesday and Wednesday, respectively. A higher-than-expected CPI reading could potentially influence rate expectations. Based on Fed fund futures, there is a 73.6% probability that the U.S. central bank will maintain its benchmark overnight interest rate within the 5.00%-5.25% range when its two-day meeting concludes on Wednesday. However, some concerns persist that the decision to hold rates steady is merely a temporary pause by the Fed, rather than a permanent end to tightening. This leaves room for the possibility of further tightening in subsequent meetings. Lower interest rates tend to increase the attractiveness of gold as a zero-yield asset.