Gold remained close to $3,327 on Friday, easing slightly from its record high of $3,358 earlier in the week. The pullback was modest, driven largely by profit-taking ahead of the Easter holiday. Silver held steady at $32.51, supported by consistent industrial demand.
Trade Uncertainty and Dollar Weakness Provide Support
Gold’s underlying support remains robust, underpinned by rising trade concerns and a weaker U.S. dollar. President Trump’s tariff measures have intensified fears of global supply chain disruptions. The World Trade Organization forecasts a 0.2% contraction in global goods trade this year, adding to the broader risk-off sentiment. At the same time, the declining U.S. dollar index (DXY) has made gold more attractive to foreign investors.
Fed Policy and Economic Data Present Mixed Signals
Federal Reserve Chair Jerome Powell’s recent comments emphasized caution on rate cuts, citing persistent inflation and uneven economic momentum. Markets are still pricing in 86 basis points of rate cuts by year-end 2025, with July seen as the earliest potential move.
U.S. jobless claims dropped to 215,000, signaling labor market resilience, although continuing claims increased to 1.885 million. March housing data was mixed, with permits rising by 1.6%, while starts fell.
Outlook: Bullish Momentum Remains, Caution Prevails
Despite the recent pullback, the broader trend for gold remains positive. As long as uncertainties around interest rates and trade risks continue, demand for safe-haven assets like gold and silver is expected to stay strong.
Short-Term Forecast
Gold is holding above the $3,322 support level, with trade risks and a weak dollar continuing to support safe-haven demand. Silver is targeting the $33.11 resistance, but its momentum will depend on maintaining support near $32.12.
Gold Price Forecast: Technical Analysis
Gold is attempting to recover after a sharp pullback, now trading around $3,327. The support level at $3,322, bolstered by the 23.6% Fibonacci retracement, remains intact. Immediate resistance is at $3,356, with further levels at $3,377 and $3,398.
On the downside, support is found at $3,301, with deeper support levels at $3,284 and $3,267. The 50 EMA, currently near $3,267, suggests that the broader bullish trend is still in play.
While buyers are defending the trendline, gold’s upside may remain limited in the short term unless a decisive break above $3,356 occurs.
Silver (XAG/USD) Price Forecast: Technical Outlook
Silver is steady around $32.51, following a bounce off the trendline support that has held since early April. The key pivot at $32.26 remains resilient, preserving the bullish structure for now. Immediate resistance is at $33.11, with further targets at $33.64 and $34.15.
On the downside, key supports are at $32.12 and $31.73. The 50 EMA at $32.28 is rising and supporting the trendline. Despite the bullish momentum, the market remains cautious, with each upward move being tested.
If silver can sustain above the trendline and break $33.11, it could see another rally. However, a drop below $32.12 could trigger a deeper correction. Close attention should be paid to silver’s reaction around the $32.50 mark.
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