Gold (XAUUSD), Silver, Platinum Forecasts – Gold Tests New Highs Despite Rising Treasury Yields

Gold Gains Ground As Traders Bet On Iran Peace Deal

Gold continues its rebound as traders focus on geopolitical developments. According to recent reports, the U.S. and Iran may sign an interim peace deal next week, during the Group of Seven summit.

Iranian Foreign Minister has recently said that U.S. and Iran were close to a deal. President Trump was also optimistic, although he added that 14 points, that were presented by Iranian media, did not reflect reality.

Oil prices pulled back as traders reacted to recent developments in the Middle East. WTI oil pulled back below the $85.00 level, while Brent oil settled near $87.00. However, falling oil prices did not provide material support to gold markets.

Treasury yields moved higher as bond traders focused on hawkish Fed policy outlook. The yield of 2-year Treasuries climbed towards the 4.08% level, while the yield of 10-year Treasuries moved towards the 4.50% level. Higher yields are bearish for gold that pays no interest.

U.S. dollar gained ground against a broad basket of currencies, supported by rising Treasury yields. Stronger dollar put some pressure on gold markets today.

Gold continues its attempts to settle above the resistance level at $4180 – $4200. in case gold manages to settle above the $4200 level, it will head towards the next resistance, which is located in the $4370 – $7390 range. RSI is in the moderate territory, so there is plenty of room to gain momentum in the near term.

On the support side, a move below the $4150 level will push gold towards the support level, which is located near recent lows at $4000 – $4020.

Silver Tests The $67.50 Level

Silver moved higher as gold/silver ratio remained stuck near the 62.50 level. in case gold/silver ratio settles below 62.50, it will head towards the 50 MA at 60.83, which will be bullish for silver.

From the technical point of view, silver moved above the resistance at $65.00 – $66.00 and is trying to settle above the $67.50 level. If silver manages to settle above $67.50, it will move towards the resistance level at $71.00 – $72.00. A move above the $72.00 level will push silver towards the 50 MA at $75.53.

On the support side, silver needs to settle back below the $65.00 level to have a chance to gain downside momentum in the near term. In this case, silver will head towards the support level at recent lows at $61.00 – $62.00.

Platinum Retreats As Traders Take Profits After The Rebound

Platinum moved away from session highs as traders took some profits off the table after yesterday’s rebound. Palladium markets were up by +0.6%, providing some support to platinum.

In case platinum pulls back below the resistance at $1680 – $1700, it will move towards the nearest support, which is located in the $1600 – $1620 range.

On the upside, a move above the $1735 level will push platinum towards the next resistance at $1780 – $1800. If platinum manages to settle above the $1800 level, it will gain additional upside momentum and move towards the $1900 level.

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