Technical Update - Gold, Silver, Platinum and Copper warming up for higher prices Technical Update - Gold, Silver, Platinum and Copper warming up for higher prices Technical Update - Gold, Silver, Platinum and Copper warming up for higher prices

Technical Update - Gold, Silver, Platinum and Copper warming up for higher prices

KCL
Kim Cramer Larsson

Technical Analyst, Saxo Bank

Copper broken key resistance level and is set for higher prices 
Gold is once again struggling at 1,680
Silver and Platinum testing key resistance levels. Likely to break higher
Gold/Silver ratio looks heavy

 

Gold XAUUSD is struggling to break back above the 1,680 level that acts like a pivot where gold has been revolving the past couple of months. 55 SMA is also once again Acting as a strong resistance. RSI is also struggling to break above 60 threshold to switch to positive sentiment.
If Gold closes above 1,608 next key resistance is at around 1,735. A close above 1,735 will reverse or at least demolish the current medium-term downtrend and the Double top picture as illustrated on the weekly chart.
If that scenario plays out – a close above 1,735 – the major key resistance is at 1,808.

If gold closes above 1,735 the previously mentioned possible double top pattern scenario is demolished. See weekly

Source all charts and data: Saxo Group

Silver XAGUSD seems to be the front runner together with Copper. Silver looks set to break the wide range between 17.50 and 21.25. RSI is above 60 i.e., positive sentiment. If Silver can close above 21.25 the uptrend is confirmed. Resistance at around 22.51.
On the weekly Silver has formed an inverted Shoulder-Head-Shoulder like pattern. It is not the most perfect SHS pattern but, nevertheless. If Silver closes above the neckline the pattern will be confirmed and a potential target of around 25, depending on the neckline price break.
A close above the neckline is also likely to push the weekly RSI to close above 60 threshold i.e., positive sentiment
If Silver fails to close above 21.24 and slides back leading weekly RSI to close below its rising trendline it would be a strong indication of Silver demolishing the SHS pattern and a test of Q3 lows will be in the cards.

Gold/Silver XAUXAG ratio has broken below medium-term rising trend line testing minor support at 79.30. Weekly RSI is still above 40 but is likely to break below if Gold/Silver closes below 79 thereby going into negative sentiment.
However, th4e short and medium-term trend is down. An RSI close below 40 will confirm that. Gold/Silver seems likely to drop to key support at around 75.25.  For the ratio to reverse that scenario it needs to close above 90.70. Above back above the 86.24 could be an indication of that scenario to unfold.    

Platinum XPTUSD broke out of its symmetrical triangle pattern a few weeks ago. Tested the upper falling trendline from the upper side and took off. Yesterday’s close above 975 has confirmed the uptrend supported by positive sentiment on RSI.
Potential target after the triangle break out is illustrated by the vertical arrows is in the 1,072-1,095 area which is 1.618 and 1.764 projections of the top to trough of the triangle. Resistance at 1,035
For this picture to be demolished Platinum must close below 912.

Copper closed Friday above resistance at 359.30 and RSI above 60 thereby in positive sentiment. Copper is set for higher levels towards 400 with resistance at around 378.
If Copper drops back below 336 the bullish picture is demolished and likely reversed.

Quarterly Outlook 2024 Q3

Sandcastle economics

01 / 07

  • Macro: Sandcastle economics

    Invest wisely in Q3 2024: Discover SaxoStrats' insights on navigating a stable yet fragile global economy.

    Read article
  • Bonds: What to do until inflation stabilises

    Discover strategies for managing bonds as US and European yields remain rangebound due to uncertain inflation and evolving monetary policies.

    Read article
  • Equities: Are we blowing bubbles again

    Explore key trends and opportunities in European equities and electrification theme as market dynamics echo 2021's rally.

    Read article
  • FX: Risk-on currencies to surge against havens

    Explore the outlook for USD, AUD, NZD, and EM carry trades as risk-on currencies are set to outperform in Q3 2024.

    Read article
  • Commodities: Energy and grains in focus as metals pause

    Energy and grains to shine as metals pause. Discover key trends and market drivers for commodities in Q3 2024.

    Read article
  • The rise of populism: Far-right parties will influence the future

    The disheartening cycle of unresolved geopolitical conflicts, the rise of polarizing political parties, and the stagnation of productivity.

    Read article
  • Investing in China: Navigating Q1 amid economic challenges

    Understand China's political landscape in Q4 2023 and the impact on counter-cyclical initiatives, with a focus on the pivotal Q1 2024.

    Read article
Disclaimer

The Saxo Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.

Please read our disclaimers:
- Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
- Full disclaimer (https://www.home.saxo/en-hk/legal/disclaimer/saxo-disclaimer)

None of the information contained here constitutes an offer to purchase or sell a financial instrument, or to make any investments. Saxo does not take into account your personal investment objectives or financial situation and makes no representation and assumes no liability as to the accuracy or completeness of the information nor for any loss arising from any investment made in reliance of this presentation. Any opinions made are subject to change and may be personal to the author. These may not necessarily reflect the opinion of Saxo or its affiliates.

Saxo Capital Markets HK Limited
19th Floor
Shanghai Commercial Bank Tower
12 Queen’s Road Central
Hong Kong

Contact Saxo

Select region

Hong Kong S.A.R
Hong Kong S.A.R

Saxo Capital Markets HK Limited (“Saxo”) is a company authorised and regulated by the Securities and Futures Commission of Hong Kong. Saxo holds a Type 1 Regulated Activity (Dealing in Securities); Type 2 Regulated Activity (Dealing in Futures Contract); Type 3 Regulated Activity (Leveraged Foreign Exchange Trading); Type 4 Regulated Activity (Advising on Securities) and Type 9 Regulated Activity (Asset Management) licenses (CE No. AVD061). Registered address: 19th Floor, Shanghai Commercial Bank Tower, 12 Queen’s Road Central, Hong Kong.

Trading in financial instruments carries various risks, and is not suitable for all investors. Please seek expert advice, and always ensure that you fully understand these risks before trading. Trading in leveraged products may result in your losses exceeding your initial deposits. Saxo does not provide financial advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo does not take into account an individual’s needs, objectives or financial situation. Please click here to view the relevant risk disclosure statements.

The Saxo trading platform has received numerous awards and recognition. For details of these awards and information on awards visit www.home.saxo/en-hk/about-us/awards.

The information or the products and services referred to on this site may be accessed worldwide, however is only intended for distribution to and use by recipients located in countries where such use does not constitute a violation of applicable legislation or regulations. Products and services offered on this website are not directed at, or intended for distribution to or use by, any person or entity residing in the United States and Japan. Please click here to view our full disclaimer.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the US and other countries. AppStore is a service mark of Apple Inc. Android is a trademark of Google Inc.