Gold and silver: Gold under pressure below the $2040 level
- The price of gold is in a sideways movement for the second day in the $2030-$2050 range.
- In the previous two days, the price of silver continued to fall below the $23.00 level.
Gold chart analysis
The price of gold is in a sideways movement for the second day in the $2030-$2050 range. During the previous Asian trading session, the price of gold managed to hold above the $2045 level. The EU session shows a breakout below and a pullback to the $2037 level. There has been an increase in price pressure, and we are now seeing a bearish consolidation that could take us down to the $2030 level again. Potential lower targets are $2025 and $2020 levels.
For a bullish option, we need to get back above the $2045 level and stay there. After that, we would have an opportunity to move up to $2050 and test the EMA50 moving average. With the breakthrough above, we start further recovery and climb to higher levels. Potential higher targets are the $2055 and $2060 levels.
Silver chart analysis
In the previous two days, the price of silver continued to fall below the $23.00 level. Yesterday, a low was formed at the $22.67 level. We successfully got support at that level and climbed back up to the $23.00 level, which is now our resistance. During the Asian session, we tried a bullish consolidation, but it was stopped at the $23.20 level. After that, we see a bearish consolidation and a drop below $23.00 again. Potential lower targets are $22.80 and $22.60 levels.
We need a positive consolidation and a return above the $23.20 level for a bullish option. Then, we have to stay up there and form a new bottom from which we would initiate a further recovery to the bullish side. Potential higher targets are $23.40 and $23.60 levels. In the zone around $23.60, we encountered the EMA50 moving average, which did not allow us to move above it even in the previous attempt.
