Skip to content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Gold Price & Silver Technical Analysis: XAU at Big Support, XAG Nearing It

Gold Price & Silver Technical Analysis: XAU at Big Support, XAG Nearing It

Paul Robinson, Strategist

Gold/Silver Technical Outlook

  • Gold price trading around long-term support
  • Silver has a nice technical landscape, near March trend-line
Advertisement

Gold, silver both trading near support levels

The precious metal space has been under pressure in recent sessions, with gold price declining over 2% in yesterday’s session. The decline has major long-term support back in play around the 1800-mark. It is a level that dates back to the post 2011-peak topping process, when during 2011 and 2012 there were three peaks created before gold fell into a sustained bear market.

While in November the area was breached on a daily basis, it held up when looking at the weekly or monthly chart. Given how long-term this support level is, it is necessary to give some latitude and look at these longer time-frames.

With support under siege again it will be interesting to see if it can hold. It would help shape things up for a long bias if gold could form a higher low around support relative to the November low. But it isn’t necessary that gold hold here for the longer-term to remain bullish.

The general price action since peaking in the summer has been a choppy downward decline lacking any real momentum. It has the makings of a massive bull-flag. In the context of the longer-term upward trend this price behavior is viewed as corrective.

If support does break the corrective price action could still remain in play and the long-term still be intact. However, in the near-term there the trading bias could turn more decisively negative. A drop through 1764 to do the trick in helping along a near-term bearish bias.

As for longer-term cues we will need to remain patient.

Gold Forecast
Gold Forecast
Recommended by Paul Robinson
Check out the Q1 GOLD Forecast
Get My Guide

Gold Weekly Chart (on support, bull-flag building)

Gold Daily Chart (watch 1764)

Gold price daily chart

Gold Charts by TradingView

The other day we took a quick look at silver and noted that after the very short-lived Reddit-fueled run, within the context of an uptrend the sturdy trend-line from March may be a good risk/reward spot to look for silver to rise off of. This will be the line-in-the-sand in the near-term to watch.

Silver Daily Chart (watching March trend-line)

Silver daily chart

Silver Charts by TradingView

Resources for Forex Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES