Gold (XAUUSD), Silver, Platinum Forecasts – Gold Rallies As 30Yr Treasuries Test Multi-Decade Lows

Gold Moves Higher As Dollar Retreats

Gold gains ground as traders focus on U.S. dollar’s pullback. The American currency is losing ground against a broad basket of currencies despite the better-than-expected NAHB Housing Market Index report. The report showed that NAHB Housing Market Index improved from 34 in July to 35 in August, compared to analyst forecast of 33.

Traders are focused on recent changes in Fed policy outlook and bet that Fed will keep rates unchanged at the next meeting in September. FedWatch Tool indicates that there is a 67.4% probability that Fed will keep the federal funds rate unchanged. Dovish Fed policy outlook is bullish for gold that pays no interest.

Treasury yields were mixed in today’s trading session. The yield of 2-year Treasuries was mostly unchanged near the 4.17% level, while the yield of 10-year Treasuries climbed above 4.71%.

Interestingly, the yield of 30-year Treasuries tested multi-decade highs, climbing towards the 5.30% level. The yield of 30-year Treasuries has not tested these levels since 2007.

Some analysts believe that rising supply of longer-term bonds from hyperscalers pushes the yield of longer-dated Treasuries higher. According to this hypothesis, fund managers sell some of their Treasury holdings to purchase AI-related bonds. Worries about long-term sustainability of U.S. finances serve as an additional bearish catalyst for Treasuries and provide support to gold markets.

At this point, higher yields do not put any pressure on gold, and traders are focused on long-term outlook.

Gold climbed above the resistance at $4360 – $4380 and is trying to settle above the $4400 level. In case gold stays above the $4400 level, it will head towards the next resistance, which is located in the $4480 – $4500 range. RSI is in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

Silver Tests Resistance At $65.00 – $66.00

Silver moves higher as gold/silver ratio pulled back below the 67.00 level. In case gold/silver stays below 67.00, it will head towards the 68.00 level, which will be bullish for silver.

From the technical point of view, silver continues its attempts to settle above the resistance level at $65.00 – $66.00. If silver settles above $66.00, it will head towards the next resistance at $71.00 – $72.00.

On the support side, a move below the $64.00 level will push silver towards the support at $61.00 – $62.00.

Platinum Moves Higher Amid Strong Demand For Precious Metals

Platinum attempts to settle above the resistance level at $1780 – $1800 amid rising demand for precious metals. Rising oil prices did not put any pressure on platinum markets in today’s trading session. Palladium markets were up by +1%, which was bullish for platinum.

If platinum manages to settle above the $1800 level, it will head towards the next resistance at $1870 – $1890. A move above the $1890 level will open the way to the test of the $1950 level.

On the support side, platinum needs to settle below the support at $1680 – $1700 to have a chance to gain downside momentum in the near term. In this case, platinum will move towards the 50 MA at $1653.

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