Technical Overview For Gold, Silver & US Dollar Index: 02.02.2018

GOLD

Even after rising to the eighteen-week high, Gold prices couldn’t surpass a downward slanting trend-line, stretched since early 2014, during last-week. Following that, the yellow metal seems declining to a weekly negative so far since Monday and the US Jobs report is still to release, which also bears forecast for fueling the USD and dragging the Gold further towards south. As a result, chances of the quote’s re-test to $1330 are much brighter, breaking which $1323, the $1310 and the $1300 could please the sellers. Should Bears refrain to respect the $1300 mark, it becomes wise to target $1285 while being short. On the upside, a weekly break of $1368 TL resistance can trigger the Bullion’s upward trajectory in direction to $1377 and the $1390 but $1405 horizontal-line may confine its further rise. In case of the buyers’ ability to conquer $1405, the $1415, the $1422 and the $1440 may become their favorite numbers to watch.

SILVER

Having failed to clear the $17.30 resistance-mark, Silver prices are likely coming down to $17.00; however, $16.85-90 horizontal-region might restrict its additional declines. During the metal’s extended downturn beneath the $16.90, the $16.70, the $16.55 and the $16.25 may act as buffers before flashing $16.00 on the chart. Alternatively, break of $17.30 can help the Silver to reach $17.50 and the $17.70 resistances, which if surpassed enable the Bulls to aim for $18.00. Furthermore, a sustained up-move beyond $18.00 could help the white-metal revisit $18.25 and the $18.65 numbers to north.

US Dollar Index [I.USDX]

Ever since the greenback gauge dropped below the medium-term descending trend-line, it continued trading southwards and is now indicating 88.30 and the 87.50 supports to come alive. Should the Index declines further beneath the 87.50, the 87.00, the 86.70 and the 86.00 gain importance. Meanwhile, 89.70 is likely immediate resistance for the USDX to surpass if it is to challenge the 90.70 support-turned-resistance. Given the optimists’ power to clear 90.70 on a weekly basis, the 91.00, the 91.70 and the 92.00 seem crucial to observe.

Cheers and Safe Trading,
Anil Panchal