Gold Eyes Breakout Momentum Building for a Major Upside Move Gold prices are trading near $3,350, finding solid support from a combination of weakening U.S. Dollar sentiment, falling Treasury yields, and rising geopolitical risks.
Gold demand remains steady. Despite Fed Chair Jerome Powell’s hawkish remarks. Highlighting its role as a safe haven in the face of growing market unease.
The June ISM Manufacturing PMI came in at 49.0, slightly above expectations. Dollar and intensify safe-haven inflows into gold.
Gold Technical Levels to Watch (XAU/USD)
Daily Chart Outlook:
Gold is trading within an ascending triangle, rebounding strongly from its lower boundary. A bullish hammer pattern has formed on the daily chart, indicating strong buying interest. A confirmed breakout above $3,450 would likely trigger a sharp rally toward new highs.
4-Hour Chart View:
Consolidation continues just below $3,430 as resistance. The recent bounce from the $3,250 zone suggests buyers are defending key support.
Analysis of Silver (XAG/USD):
Maintaining Gains Above the Breakout Zone Silver prices have remained strong after breaking above $35.00, consolidating between $34.50 and $37.00. Silver’s dual appeal as an industrial metal and a safe-haven asset supports the formation of an Adam and Eve pattern on the daily chart, which indicates continued bullish momentum.
Silver Technical Levels to Watch (XAG/USD)
Daily Chart Outlook:
After breaking out from the $35.00 mark, silver has formed a clean bullish structure. A move above $37.00 would likely drive prices toward the psychological level of $40.00.
View of a 4-Hour Chart:
Consolidation continues above the $34.50 support zone. Momentum indicators are strengthening, and a bullish breakout looks imminent.
U.S. Dollar Index (DXY) Analysis:
Weakness Persists as Pressure Builds
The U.S. Dollar Index (DXY) remains under strong selling pressure, currently approaching the 96.00 support level. A breach below this critical level could accelerate downside momentum. And geopolitical uncertainty undermining investor confidence.
Daily Chart Outlook:
A potential head and shoulders pattern below the 105.20 level is signaling broader weakness. Continued pressure could open the path toward 94.50, and possibly 90.00, in the medium term.
4-Hour Chart View:
Short-term rallies are likely to be sold, with strong resistance overhead and key support at 94.50.
