Gold (XAUUSD), Silver, Platinum Forecasts – Gold Gains Some Ground Despite Rising Treasury Yields

Gold Moves Higher Ahead Of The Weekend

Gold continues to move higher as traders focus on the pullback in the oil markets. Oil prices are moving lower as U.S. and Iran continue negotiations.

President Trump has recently said that he was “not happy” with Iran’s proposals, but traders believe that negotiations will continue.

U.S. equities gain ground, indicating that demand for risk assets is rising. Gold has been trading as a risk asset in recent months, so rising appetite for risk is bullish for gold markets.

Treasury yields have started to rebound after yesterday’s pullback. The yield of 2-year Treasuries climbed above the 3.88% level, while the yield of 10-year Treasuries settled near 4.38%. The yield of 30-year Treasuries remains below the key 5.00% level. Rising Treasury yields limited gold’s gains in today’s trading session.

U.S. dollar rebounded from session lows, putting some pressure on gold markets. Stronger dollar is bearish for gold and other dollar-denominated commodities.

The nearest resistance level for gold is located in the $4660 – $4680 range. If gold manages to settle above the resistance at $4660 – $4680, it will head towards the 50 MA at $4834. A move above the 50 MA will open the way to the test of the resistance at $4880 – $4900.

On the support side, a move below the $4600 level will push gold towards the nearest support at $4530 – $4550.

Silver Tests New Highs As Gold/Silver Ratio Pulls Back

Silver gained strong upside momentum as gold/silver ratio pulled back below the 61.00 level. If gold/silver ratio stays below the 61.00 level, it will head towards April lows at 58.80, which will be bullish for silver.

The pullback in the oil markets provided strong support to silver, which is dependent on industrial demand. It looks that speculative traders have started to return to silver markets.

From the technical point of view, silver is heading towards the resistance level at $78.00 – $79.00. If silver climbs above the $79.00 level, it will head towards the next resistance, which is located in the $85.00 – $86.00 range. RSI is in the moderate territory, so there is plenty of room to gain additional upside momentum in the near term.

On the support side, a move below the $75.00 level will push silver back towards the strong support level at $71.00 – $72.00.

Platinum Attempts To Settle Above $2000

Platinum gained some ground amid rising demand for precious metals. Palladium markets were up by +0.2% in today’s trading session.

The continuation of the pullback in the oil markets will likely provide significant support to platinum. In this light, platinum will remain extremely sensitive to geopolitical news. Traders will likely stay cautious ahead of the weekend when markets are closed and they do not have a chance to react to geopolitical developments.

Platinum received strong support in the $1880 – $1900 range and rebounded towards the $2000 level. If platinum climbs above $2000, it will head towards the nearest resistance, which is located in the $2040 – $2060 range. A successful test of the resistance at $2040 -$2060 will push platinum towards the next resistance at $2210 – $2230.

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