Gold (XAUUSD), Silver, Platinum Forecasts – Gold Tests New Highs As Traders Bet On Progress In U.S. – Iran Talks

Gold Gains Ground As Traders Wait For News From The Middle East

Gold tested new highs despite rising Treasury yields as traders reacted to the pullback in the oil markets.

WTI oil made an attempt to settle below the $91.00 level amid signs of progress in the Middle East. It should be noted that prices have already rebounded towards the $95.00 level as U.S. waited for Iran’s response while Israel delivered strikes against Lebanon.

Oil’s rebound from session lows has already put some pressure on gold markets, which moved away from session highs. Market sentiment remains bullish as traders ignore the rebound in Treasury yields.

The yield of 2-year Treasuries climbed above the 3.90% level, while the yield of 10-year Treasuries settled above 4.38%. Typically, rising yields are bearish for gold that pays no interest. However, traders may ignore rising yields in case they focus on stronger catalysts.

From a big picture point of view, gold traders bet that U.S. and Iran will be able to reach a deal, which will boost demand for risk assets and provide additional support to gold prices.

Gold settled above the previous resistance at $4660 – $4680 and made an attempt to settle above the $4750 level. If gold settles above $4750, it will head towards the 50 MA at $4790. A move above the 50 MA will push gold towards the next resistance at $4860 – $4880.

Silver Rallies As Gold/Silver Ratio Dives Below 60

Silver tested new highs as gold/silver ratio pulled back towards the 59.00 level. The strong pullback of gold/silver ratio highlighted rising demand for risk assets.

If gold/silver ratio settles below the 59.00 level, it will head towards the 56.00 level, which will be bullish for silver.

Currently, silver is trying to settle above the resistance at $78.00 – $79.00. In case this attempt is successful, silver will move towards the next resistance, which is located in the $85.00 – $86.00 range. RSI remains in the moderate territory, so there is plenty of room to gain momentum in the near term.

It should be noted that short-covering may have served as an important catalyst for silver. The surprising progress in U.S. – Iran talks caught short-sellers off guard. They were forced to start closing their positions, pushing silver prices towards new highs.

On the support side, a move below the 50 MA at $77.38 will push silver towards the support level at $71.00 – $72.00.

Platinum Retreats Amid Profit-Taking

Platinum pulled back as traders decided to take some profits off the table after the recent rally. Palladium markets were down by -2.2%, which was bearish for platinum.

The technical picture remains unchanged as platinum attempts to settle above the resistance level at $2040 – $2060. If platinum manages to settle above the $2060 level, it will move towards the $2140 level. In case platinum climbs above $2140, it will head towards the next resistance at $2210 – $2230.

On the support side, platinum needs to settle back below the 50 MA at $2026 to gain sustainable downside momentum in the near term. If platinum settles below the $2026 level, it will head towards the support at $1880 – $1900.

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