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Gold, Silver, Copper Daily Forecast: Post-CPI Slide, XAU/USD Below $2,000 Mark

By:
Arslan Ali
Published: Feb 14, 2024, 13:12 UTC

Inflation fears grip metals market, pushing gold below the crucial $2,000 mark, signaling tighter monetary conditions ahead.

Metal Recap

In this article:

Key Insights

  • January’s higher-than-expected inflation dampens early Fed rate cut hopes, challenging gold’s near-term recovery amid a strengthening dollar.
  • Silver and copper face headwinds from a robust dollar and high-rate environment fears, with copper near a three-month low.
  • Gold’s pivot above $1986.091 suggests bullish potential, but trading under the 50-day EMA at $2020.556 warrants caution.

Gold prices dipped below the pivotal $2,000 per ounce mark following January’s higher-than-anticipated inflation figures, hinting at prolonged elevated Federal Reserve rates. This development erodes early rate cut expectations, dimming gold’s recovery prospects as the dollar strengthens to a three-month peak.

Silver and copper also face downward pressure, with copper nearing a three-month low amid dollar strength and concerns over demand in a high-rate environment Copper’s outlook is further clouded by potential supply increases from a new Zambian deposit, though its immediate impact remains distant.

Gold Prices Forecast
Gold - Chart
Gold – Chart

Gold‘s performance highlighted a slight decline to $1989.080, marking a 0.15% decrease. With a pivot point at $1986.091, gold’s immediate resistance levels are set at $1995.825, $2005.804, and $2016.365, while support levels lie at $1975.924, $1966.651, and $1956.605.

The positioning of gold above its pivot suggests a bullish sentiment. However, trading below the 50-day EMA at $2020.556 introduces caution.

Investors should monitor these key price levels for potential shifts in gold’s market direction, emphasizing the significance of the pivot point in determining short-term trends.

Silver Prices Forecast

Silver - Chart
Silver – Chart

About the Author

Arslan, a webinar speaker and derivatives analyst, has an MBA in Finance and MPhil in Behavioral Finance. He guides financial analysis, trading, and cryptocurrency forecasting. Expert in trading psychology and sentiment.

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