Gold and Silver: Gold continues to pull back today
The price of silver retreated to a new weekly low yesterday at the $27.69 level
Gold chart analysis
Since the beginning of this week, the price of gold has been retreating. During this morning’s Asian trading session, a new two-week low was formed at the $2471 level. This was followed by a quick recovery up to the $2490 level. We currently have resistance here, and the price has slowed further progress. We need to continue the bullish momentum in order to move above the daily open price.
If we succeed in this, the chances of further recovery increase. Potential higher targets are the $2495 and $2500 levels. This week’s major resistance is the EMA 200 moving average, and today, it awaits us at the $2500 level. For a bearish option, gold would have to initiate a new bearish consolidation. After that, we expect a return to this morning’s low. This time, we would have to break below and form a new low. Potential lower targets are the $2470 and $2465 levels.
Silver chart analysis
The price of silver retreated to a new weekly low yesterday at the $27.69 level. Since then, the price has moved in the $27.80-$28.00 range. We are currently seeing pressure on the upper level of this range and expect to see a breakout above. At $28.20, we will try to move above the EMA 50 moving average so that we can more easily start a further recovery on the bullish side.
Potential higher targets are the $28.40 and $28.60 levels. A significant resistance zone is at the weekly open price of $28.85 with the EMA 200 moving average. For a bearish option, we need a negative consolidation and a new descent below the $27.80 level. With this, we attack yesterday’s low and increase the chances of forming a new lower minimum. Potential lower targets are the $27.60 and $27.40 levels.
