Gold, Silver, Copper Forecast: 6% Copper, 3% Gold Rise on Fed Cuts – Goldman

Arslan Ali
Published: Feb 21, 2024, 06:57 UTC

Key Points:

  • Goldman Sachs predicts a 6% rise in copper and 3% in gold prices following Fed rate cuts.
  • Rate cuts expected to outpace oil's gains, with no significant impact on natural gas or agriculture.
  • Lower borrowing costs and improved financial conditions could elevate commodity prices, despite possible June rate cut delays.
Metals Recap

In this article:

Rate Cuts to Propel Copper and Gold Prices, Outpacing Other Commodities

Gold Prices Forecast

Gold - Chart
Gold – Chart

On February 21, gold‘s price increased by 0.28%, trading at $2030.93. This movement positions the asset above its pivot point of $2024.00, suggesting a bullish outlook. Resistance levels are identified at $2038.75, $2048.04, and $2059.16, while support levels are at $2010.78, $2000.45, and $1988.68.

The 50-day Exponential Moving Average (EMA) at $2017.69 and the 200-day EMA at $2023.88, coupled with a bullish engulfing pattern and a crossover of the EMAs, indicate a strong buying trend.

The technical analysis points to a bullish trend for Gold, reinforced by the asset’s performance above the pivot point and the technical indicators suggesting continued upward momentum.

Silver Prices Forecast

Silver - Chart
Silver – Chart

During the Asian session, silver experienced a gain, closing at $23.15 with an uptick of 0.56%. This places the metal slightly above its pivot point of $23.14, indicating a bullish inclination.

Resistance is encountered at $23.51, $23.68, and $23.85, while support levels are positioned at $22.91, $22.72, and $22.53. The 50-day and 200-day Exponential Moving Averages (EMAs), at $22.84 and $22.89 respectively, have crossed over in a manner that, coupled with a bullish engulfing pattern, signals a robust buying trend.

Given these indicators, Silver’s trajectory is bullish as long as it stays above the pivot point, reflecting a positive momentum for the metal.

Copper Prices Forecast

Copper Chart
Copper 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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