abuambassadeurc3|黄金和白银技术分析：白银接近主要支撑位

Huitong Financial App-in recent weeks, precious metals have been hit by profit-taking, a stronger dollar and reduced interest rate bets. However, gold and silver are still in a low buying mode, and prices are no longer extremely overbought. Silver technical analysis shows that spot silver may rebound from the breakthrough area around 25-26 US dollars.

Gold and silver continued to fall from recent highs, trading below $2300 after the Fed meeting, while silver was close to $26. Precious metals have finally responded to the recent strengthening of the dollar and lowered the Fed's interest rate cut bets at a time when inflation data are hot. After the latest US monetary policy decision and Powell's speech at the FOMC conference, both metals rebounded and then fell again. Silver has now hit its lowest level since early April, while gold has not yet tested a low of $2280 hit earlier this week.

(spot gold daily chart source: Yi Huitong)

However, even if the Fed does not cut interest rates in the near future, it remains to be seen whether metal prices will fall further. LaterAbuambassadeurc3We will see some US macro indicators, after which the focus will turn to the key US monthly jobs report and this weekend's ISM services PMI. The release of these data will at least affect the short-term trend of precious metals. But given the potentially strong trend in precious metals, after the recent pullback, we may have a chance to start seeing the next phase of rebound this week.

Precious metals are still in low buying mode.

Although the revision is likely to continue, there is still demand for both metals, especially gold. Gold has been supported as years of high inflation have undermined the value of legal tender. However, as many investors missed the recent surge in gold and silver pricesAbuambassadeurc3They are now keeping a close eye on prices, looking for buying opportunities.

Supporters of precious metals stress that precious metals have recently shown resilience in the face of a stronger dollar and rising bond yields. They argue that the upward trajectory of gold prices is likely to continue as prices are no longer overbought, especially given the potential for gold, such as continued purchases by central banks and the role of precious metals as a hedge against inflation. Years of excessive inflation means a sharp devaluation of legal tender. Given the stickiness of inflation in many countries, this trend will continue for some time. As a result, demand for precious metals is likely to remain strong as a reliable safeguard against inflation.

Why precious metals have weakened recentlyAbuambassadeurc3?

Despite the bullish long-term outlook for precious metals, some investors are happy to take profits on metal long positions. With global bond yields still high, the opportunity cost of holding low-yield and zero-yield assets is higher than holding government bonds with higher yields. they may have delayed plans to hold or buy more bonds at recent levels. In addition, weaker expectations of a Fed rate cut in 2024 will help maintain support for the dollar, putting downward pressure on gold and silver and other dollar-denominated commodities. Needless to say, as long as we do not suddenly enter a period of deflation, the impact of a stronger dollar will only play a temporary role.

Silver Analysis: approaching the key Breakthrough area

(spot silver daily chart source: Yi Huitong)

The recent rally in silver has been driven by breaking through the key resistance level of $25 / $26, which stopped a few weeks ago because of extreme overbuying, and silver prices have found new support. But the big breakthrough in silver prices after years of consolidation means traders will be happy to buy bargains. This argument will be tested because silver prices will now return to their starting point near $26 in the recent breakthrough zone.

As silver falls back to the break-through zone of $25 / $26, watch the bullish reversal signal in a small time frame to gain potential long opportunities. Silver will once again gain a foothold near these levels and more gains are expected this year. Silver is not even close to the recent high of about $30, let alone the all-time high of $50.