- The price of gold rose above $1830 yesterday and thus formed a new December high at the $1833 level.
- Yesterday’s attempt to continue the bullish trend above $24.20 was unsuccessful.
Gold chart analysis
The price of gold rose above $1830 yesterday and thus formed a new December high at the $1833 level. A pullback from that level quickly followed, and the price of gold fell to the $1,800 support level this morning. The fall in the price of gold is stopped at that level, and we see a minor recovery to the $1805 level. Additional price support from the downside is in the trend line. A breakout of the gold price below would bring us back to the previous low at the $1790 level. And the inability to find support there will lead to a further drop in the price of gold. Potential lower targets are $1780 and $1770 levels. We need a positive consolidation and a move to the $1810 level for a bullish option. Then we need to see and break the prices above and try to hold up there. Potential higher levels are the $1820 and $1830 levels.
Silver chart analysis
Yesterday’s attempt to continue the bullish trend above $24.20 was unsuccessful. This was followed by a new withdrawal of the price of silver to the $23.60 level. We managed to hold above that level, and the price recovered to $23.80. We need a positive consolidation back above the $24.00 level for a bullish option. After that, we could try again to reach $24.20 and break above. If we were to succeed in that, we need to stay up there and continue the recovery with a new impulse. Potential higher targets are the $24.40 and $24.60 levels. We need a negative consolidation and a price drop below the support at the $23.60 level for a bearish option. Potential lower targets are the $23.40 and $23.20 levels.