Today’s analysis delves into the intricate dynamics of the gold and silver markets, spotlighting the fundamental and technical elements that are shaping current and future trends. Our aim is to provide investors with precise information, empowering them with the insights needed for strategic trading decisions.
Gold price is breathing a sigh of relief early Thursday after testing offers near $2,315 once again. Broad risk aversion seems to be helping Gold find a floor, as traders refrain from placing any fresh directional bets on the bright metal ahead of the preliminary reading of the US first-quarter GDP due later today.
Gold price struggles for a firm footing near $2,300. The precious metal remains on tenterhooks after sliding to near the 20-day Exponential Moving Average (EMA) earlier. The yellow metal could fall to a three-week low near $2,261 amid multiple headwinds. A breakdown below the three-week low of $2,261 would expose the asset to a March 21 high at $2,223. The short term Stochastics Oscillator is at 27 and the Relative Strength Index is at 56.
XAG/USD’s correction mode is continuing on Tuesday with traders eyeing several potential downside targets and potential value spots at $25.11 to $23.75. The 50-day moving average at $25.11 is another potential target. It has been controlling the intermediate uptrend since March 4. The major support remains the long-term trend indicator or 200-day moving average at $23.75. The short term Stochastics Oscillator is at 33 and Relative Strength Index (RSI) is at 54.
● Stochastics Oscillator: Indicates momentum by comparing a closing price to its price range over a certain period. It suggests overbought conditions above 80 and oversold conditions below 20.
● Relative Strength Index (RSI): Measures price changes to evaluate overbought or oversold conditions. A reading above 70 indicates overbought, while below 30 suggests oversold.
In the complex and ever-evolving landscape of bullion markets, staying informed with both technical and fundamental analysis is crucial for making well-informed investment decisions. Our report strives to provide a balanced view to assist investors in navigating the intricacies of gold and silver trading.