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Gold and Silver Prices Show Modest Movement in Bearish Territory


xs.com

23-06-2023 Asia Session


In the latest market update, both gold and silver continued to trade within a narrow range, displaying a bearish sentiment. Gold dropped below the key level of $1930, as predicted in the earlier Asia session update. The metal reversed from the $1925 mark, while silver found support at $2250 and rebounded. Let's delve into the charts and indicators to determine the expected direction for the U.S. market and appropriate positions to consider.


Gold Analysis:

  • Gold is currently trading in a bearish channel, with limited breakout attempts.

  • Buyers can enter only if the price surpasses the $1935-$1936 zone, leading to a potential rise towards $1940-$1942.

  • However, a strong resistance exists at $1942, and a reversal might occur towards $1945-$1950 levels.

  • Gold is currently trading outside the Bollinger Bands, finding support at the lower band and facing resistance at the $1930-$1932 zone.

  • Selling opportunities arise if gold falls below $1925, with $1922 serving as a pivotal level.

  • Further downward movement could bring the price to $1980-$1950, while $1915 is a crucial support level targeting $1900.

  • Technical indicators such as Stochastic, MACD, and RSI are displaying bearishness and divergence on multiple timeframes.

Silver Analysis:

  • Silver's early chart indicates a downward trend following a retracement, suggesting a sell entry below $2350.

  • A breach of $2340 would intensify the bearish sentiment, with potential targets at $2060 and possibly $2020-$2010.

  • The metal is currently trading within a bearish channel, featuring consolidation and subsequent drops.

  • A break below $2240 could lead to increased bearishness, while selling opportunities emerge below $2250.

  • On the upside, buying positions can be considered at $2270-$2280 levels, but caution is advised around $2280-$2320 resistance levels.

  • Technical indicators show potential for a minor retracement, with Stochastic rising, MACD displaying divergence, and RSI recovering from oversold levels.

Conclusion: Gold and silver prices are experiencing limited movement within bearish territories. Gold's resistance lies around $1942, while silver faces resistance at $2280-$2320. Both metals are trading outside the Bollinger Bands, indicating possible pullbacks. However, further downward pressure cannot be ruled out, particularly if key support levels are breached. Traders should exercise caution, considering the technical indicators and placing appropriate stop-loss orders to manage risks effectively.


Disclaimer: The information provided in this article is for educational and informational purposes only. It should not be considered as financial or investment advice. Trading in gold and silver involves risks, and individuals should carefully consider their own financial situation and consult with a professional advisor before making any trading decisions. The author and the website are not liable for any losses or damages incurred as a result of the information presented in this article. Trading in financial markets carries inherent risks, and individuals are solely responsible for their own trading decisions.

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