Silver, Gold Price Prediction: Silver Tests Crucial Support, Gold Snaps Back

  • Precious metals saw notable runs over the previous week, with Silver and Gold hitting new 7-month and 3-month peaks.
  • Gold met resistance near a crucial zone before pulling back, while Silver is trying to maintain support at the previous hurdle.
  • This article analyzes chart formations and price action.

Precious metals pulled back following last week’s impressive breakouts. Gold launched its bullish move early in November. Though bears cleared the path for a breakdown during October sessions, bulls continually defended the 1628 support. That triggered a descending wedge formation.

Analysts have predicted possible bullish reversals since early this month. And the tale persisted into yesterday’s trade, where a new 3-moth peak emerged near the same resistance zone that restricted August highs.

Surprisingly, Silver could witness a more optimistic backdrop as it set its low in early September & last week noticed prices jumping beyond a crucial zone of a prior resistance – which is acting as near-term support. Silver’s revival from September lows welcomed a 36.15% surge, lower than Gold’s 12.64% upsurge from its November lows. Let us dig more.

Gold saw its breakout early the previous month as prices breached the falling wedge setup’s top. Falling wedges often welcome a bullish reversal, and such a bullish break catalyzed a near-term trend, with last month’s higher low and highs continuation.

Meanwhile, Gold indicated a resistance near 1819 – 1824 – the territory that caught August highs. It explored this zone early on Thursday, following PCE release, and maintained the peak through the week. Early yesterday witnessed another breakout attempt above that resistance. However, it failed, dragging prices back.

Meanwhile, yesterday’s pullback was massive as prices pushed beneath the support levels from previous resistance – 1785 – 1791.

Gold Near-Term

The 4hr chat shows where yesterday’s unsuccessful breakout dipped beneath the support from previous resistance. Meanwhile, 1791 stays pertinent as it represented the earlier November swing peak that presented a somewhat near-term foothold last Friday (following the NFP data release).

However, it could not keep the lows over the past day as prices pulled back and began showing near-term resistance in the morning. That welcomes bearish tales in the near term, with interest on the levels explored during last month’s upside tendencies. Enthusiasts should watch the support at 1770.

Sellers pushing there might trigger a lower low alongside a lower high. That would confirm an enormous downward potential, welcoming possibilities of a revisit to the massive support that contained last month’s low near 1737.

Meanwhile, the near-term bearish tale will depend on whether prices can push beyond 1791 and whether buyers can stretch the move beyond the psychological mark of 1800. That would welcome bullish cases.


Silver battled recovery themes in 2022. May sessions saw Silver prices breaking beneath support that contained the lows since 2020 – near $22 – $22.5. The downward persisted into September and ultimately printed a new low. Moreover, bulls could not present intensified moves during October, and prices remained beneath a long-term resistance from previous support.

However, bulls showed life last week and November, and prices eventually broke beyond a crucial resistance. Meanwhile, the weekly chart shows the current foothold at the confluence of the FIB zone at 22.35 & 22.45. The daily chart shows that the confluent zone rescues yesterday’s lows, and the same region marked resistance zones twice last month (15 November and 30 November).

The rate of gains remained attractive, with a bullish channel guiding prices high, showing how a more pullback could allow bulls to stay on route, with the setup’s bottom projected near 21.73. Bullish actions around this region might keep Silver’s upside door open.

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