Gold (XAUUSD), Silver, Platinum Forecasts – Gold Attempts To Rebound After Strong Sell-Off

Gold Markets Stabilize After Pullback

Gold attempts to rebound after the strong sell-off, which was triggered by worries about hawkish Fed.

It remains to be seen whether bulls will find sufficient upside catalysts to push gold prices higher as today’s U.S. Producer Prices report exceeded analyst estimates. The report showed that PPI increased by +1.1% month-over-month in May, compared to analyst forecast of +0.7%.

U.S. dollar gained ground against a broad basket of currencies as traders reacted to the higher-than-expected PPI report. Stronger dollar is bearish for gold as it makes the metal more expensive for buyers who have other currencies.

Traders also monitor geopolitical developments. President Trump has recently announced that the U.S. will strike Iran again. He also raised the possibility of capturing the Kharg island, which is the center of Iran’s oil industry. Nevertheless, oil prices are losing some ground in today’s trading session as traders remain confident that U.S. and Iran will make a deal. Falling oil prices provided support to gold markets in today’s trading session.

Today, ECB decided to raise the interest rate from 2.15% to 2.4% due to rising inflationary pressures. This move marks the start of the rate hike cycle in the EU. Explaining its decision, ECB noted that headline inflation was expected to reach 3% in 2026 before falling to 2.3% in 2027. Rising interest rates are bearish for gold that pays no interest.

In case gold climbs above the $4100 level, it will head towards the nearest support, which is located in the $4180 – $4200 range. RSI is in the oversold territory, so there is plenty of room to gain upside momentum in case the right catalysts emerge.

On the support side, the nearest support level for gold is located in the $4000 – $4020 range. A successful test of this level will open the way to the test of the next support at $3880 – $3900.

Silver Attempts To Settle Back Above $64.00

Silver gained ground as traders took some profits off the table after the strong pullback. Gold/silver ratio pulled back below the 64.00 level, providing support to silver markets.

The nearest resistance level for silver is located in the $65.00 – $66.00 level. A move above the $66.00 level will push silver towards the resistance level at $71.00 – $72.00.

On the support side, a move below the $61.00 level will push silver towards the $57.00 level. RSI remains in the moderate territory, so there is enough room to gain downside momentum in the near term.

Platinum Is Mostly Flat As Traders Evaluate Their Next Moves

Platinum attempts to stabilize after the strong sell-off. Palladium markets are up by +2%, which is bullish for platinum.

From the technical point of view, platinum needs to settle above the resistance at $1680 – $1700 to gain upside momentum in the near term. If platinum climbs above the $1700 level, it will move towards the next resistance at $1780 – $1800.

On the support side, a move below the $1650 level will open the way to the test of the support at $1600 – $1620.

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