ISA Bullion Gold Report – 9 July 2024

Market Overview

Today’s report provides a comprehensive analysis 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 needed to navigate these markets effectively.

Fundamental Analysis

Gold prices are attempting a tepid bounce while defending the $2,350 psychological support in Asian trading on Tuesday. The renewed uptick in gold prices could be attributed to the downside consolidation phase of the US Dollar and the US Treasury bond yields.

Gold:

• Gold prices have retreated after decisively breaking the Head-and-Shoulders neckline. If it drops below $2,351, further declines could target the $2,308 level. If this support fails, the next demand zone would be the May 3 low of $2,277, followed by the March 21 high of $2,222. On the other hand, if gold prices climb above $2,400, further upside is seen, with the next resistance lying at the YTD high of $2,450, ahead of the $2,500 mark. The short-term Stochastics Oscillator is at 78, and the Relative Strength Index (RSI) is at 55.

Silver:

• Silver is hovering around $31.00 after witnessing a pullback due to a profit booking yesterday. In case silver declines below the $30.50 level, it will head towards the 50-day Moving Average at $29.57. The short-term Stochastics Oscillator is at 78, and the Relative Strength Index (RSI) is at 57.