ISA Bullion Gold Report – 15 July 2024

Market Overview

Today’s analysis provides an in-depth examination of the gold and silver markets, offering insights into the fundamental and technical factors driving current trends. Our objective is to equip investors with the knowledge necessary to navigate these markets successfully.

Fundamental Analysis

Gold prices have started the new week on a weaker note due to some renewed USD buying. However, expectations of a Federal Reserve rate cut in September are capping USD gains and lending support to gold.

Gold:

• Last week, the gold price entered an aggressive uptrend and decisively broke the Head-and-Shoulders neckline. The sustained breakout through the $2,400 mark is seen as a fresh trigger for bullish traders. The first resistance is the year-to-date high of $2,450, followed by the $2,500 mark. Conversely, if gold slides below the $2,400 figure, the next demand zone will be the July 5 high at $2,392. If cleared, XAU/USD could continue to $2,350. The short-term Stochastics Oscillator is at 88 and the Relative Strength Index is at 60.

Silver:

• Silver is losing ground as the gold/silver ratio jumped above the 78.00 level. The recent attempt to settle above the resistance at $30.95 – $31.25 yielded no results. In case silver stays below the $30.95 level, it will move towards the 50 MA at $30.00. The short-term Stochastics Oscillator is at 75 and the Relative Strength Index (RSI) is at 55.