Gold Silver Outlook For Today, 04 August 2023: Strong US Jobs Data May Resume Fall in Gold and Silver

Gold Silver Outlook For Today, 04 August 2023: Another down week in the making for gold and silver price, as it is on track to book the worst week in six on Friday. However, the extended pullback in the United States Dollar (USD) combined with retreating US Treasury bond yields are helping put a floor under Gold price in the lead-up to the US Nonfarm Payrolls (NFP) showdown.

The gold silver pair is stuck around the 61.8% Fibonacci retracement of its latest bullish run between $1,912 and $1,987.40 with the risk still downside. The intraday chart shows that the pair posts a lower high and a lower low for a third consecutive day while trading below the 20 and 100 Simple Moving Averages (SMAs). Technical indicators, in the meantime, have lost their bearish strength but remain directionless within negative levels.

The 4-hour chart shows that gold (Yellow Metal) holds below all its moving averages, with a firmly bearish 20 SMA extending its decline below a directionless 100 SMA. Meanwhile, the Momentum indicator recovers within negative levels, while the Relative Strength Index (RSI) indicator remains near oversold territory, maintaining the risk downside.

Gold bears stay below $1,947

Gold (XAU/USD) price remains mildly bid as it consolidates previous losses amid pre-NFP positioning. Also allowing the Gold Price to remain mildly bid are the headlines suggesting China stimulus and a pullback in the US Treasury bond yields from the highest level since November 2022.

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