ISA Bullion Gold Report – 2 October 2024

02 أكتوبر 2024
OTC Market Data
High
Low
Close
Previous
Change USD
Change %
Gold
2673
2623
2660
2635
+25.00
+0.95%
Silver
31.83
31.17
31.34
30.86
+0.48
+1.55%

Introduction

With global markets continuing to experience volatility, gold and silver remain at the forefront of safe-haven assets, offering stability and potential for growth amidst economic turbulence. As central banks adjust their policies and geopolitical tensions heighten, the role of precious metals as a hedge against uncertainty becomes increasingly vital. This report provides a comprehensive analysis of the current market trends, technical indicators, and fundamental drivers impacting gold and silver prices, equipping investors with the information needed to make well-informed decisions.


Fundamental Analysis

Gold:

Gold remains firmly positioned above $2,650 as geopolitical tensions and recent economic data continue to support bullish sentiment. While the metal encountered resistance near $2,670, it has managed to sustain its upward momentum. The Stochastic Oscillator, at 74, and the RSI, at 64, suggest that gold is approaching overbought territory but still has room for further gains. A break above $2,670 could pave the way for a retest of the all-time high at $2,686, with the $2,700 mark as the next significant target. Conversely, a fall below $2,623 could open the door to deeper corrections.

Support 3
Support 2
Support 1
Current Market Price
Resistance 1
Resistance 2
Resistance 3
2578
2600
2623
2650
2663
2686
2700

Silver:

Silver gained traction amid rising geopolitical tensions, but the metal’s performance remains capped by the gold/silver ratio moving above 84.50, which has historically been bearish for silver. Technically, silver needs to break above $31.75 to gain sustainable momentum. A move above this resistance level could propel prices toward $32.50. However, if the price falls below $31.00, it may trigger further selling pressure.

Support 3
Support 2
Support 1
Current Market Price
Resistance 1
Resistance 2
Resistance 3
30.50
30.64
31.00
31.20
31.45
31.66
32.00

Definitions of Key Indicators

  • Stochastic Oscillator: This indicator measures the momentum of an asset by comparing its closing price to its price range over a defined period. Readings above 80 indicate overbought conditions, while readings below 20 suggest oversold conditions.
  • Relative Strength Index (RSI): Measures the speed and change of price movements. A reading above 70 signals overbought conditions, while a reading below 30 indicates oversold conditions.
Key US Economic Reports & Events
When
Actual
Expected
Previous
ADP Non-Farm Employment Change
4:15 PM
143K
124K
99 K

Conclusion 

As gold remains well-supported above $2,650 and silver attempts to build on its recent gains, the coming days could see heightened volatility driven by upcoming economic data and global developments. Gold’s ability to break above $2,670 will be key for further gains, while silver’s challenge is to maintain momentum above $31.00. Staying informed and leveraging both technical and fundamental insights will be crucial for navigating these evolving market conditions and making strategic investment decisions.

Disclaimer This report is for informational purposes only, based on data from reputable sources. It is not intended as investment advice. ISA Bullion disclaims any liability for losses that may arise from reliance on the information provided. Investors are encouraged to perform their own research and consult with professional advisors before making any financial decisions.